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[
ü
]
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2016
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[ ]
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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Title of each class
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Name of each exchange on which registered
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Common Stock, par value $0.01 per share
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New York Stock Exchange
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London Stock Exchange
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Tokyo Stock Exchange
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Warrants to purchase Common Stock (expiring October 28, 2018)
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New York Stock Exchange
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Warrants to purchase Common Stock (expiring January 16, 2019)
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of 6.204% Non-Cumulative
Preferred Stock, Series D
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of Floating Rate Non-Cumulative
Preferred Stock, Series E
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of 6.625% Non-Cumulative
Preferred Stock, Series I
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of 6.625% Non-Cumulative
Preferred Stock, Series W
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of 6.500% Non-Cumulative
Preferred Stock, Series Y
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of 6.200% Non-Cumulative
Preferred Stock, Series CC
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,000th interest in a share of 6.000% Non-Cumulative Preferred Stock, Series EE
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New York Stock Exchange
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Title of each class
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Name of each exchange on which registered
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7.25% Non-Cumulative Perpetual Convertible Preferred Stock, Series L
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,200th interest in a share of Bank of America Corporation Floating Rate Non-Cumulative Preferred Stock, Series 1
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,200th interest in a share of Bank of America Corporation Floating Rate Non-Cumulative Preferred Stock, Series 2
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,200th interest in a share of Bank of America Corporation 6.375% Non-Cumulative Preferred Stock, Series 3
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,200th interest in a share of Bank of America Corporation Floating Rate Non-Cumulative Preferred Stock, Series 4
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New York Stock Exchange
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Depositary Shares, each representing a 1/1,200th interest in a share of Bank of America Corporation Floating Rate Non-Cumulative Preferred Stock, Series 5
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New York Stock Exchange
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7.00% Capital Securities of Countrywide Capital V (and the guarantees related thereto)
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New York Stock Exchange
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Floating Rate Preferred Hybrid Income Term Securities of BAC Capital Trust XIII (and the guarantee related thereto)
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New York Stock Exchange
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5.63% Fixed to Floating Rate Preferred Hybrid Income Term Securities of BAC Capital Trust XIV (and the guarantee related thereto)
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New York Stock Exchange
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MBNA Capital B Floating Rate Capital Securities, Series B (and the guarantee related thereto)
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New York Stock Exchange
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Trust Preferred Securities of Merrill Lynch Capital Trust I (and the guarantee of the Registrant with respect thereto)
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New York Stock Exchange
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Trust Preferred Securities of Merrill Lynch Capital Trust III (and the guarantee of the Registrant with respect thereto)
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New York Stock Exchange
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Senior Medium-Term Notes, Series A, Step Up Callable Notes, due November 28, 2031 of BofA Finance LLC (and the guarantee of the Registrant with respect thereto)
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New York Stock Exchange
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Large accelerated filer
ü
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Accelerated filer
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Non-accelerated filer
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Smaller reporting company
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(do not check if a smaller reporting company)
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Page
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Item 1A
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Item 16.
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Form 10-K Summary
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Bank of America 2016
1
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2
Bank of America 2016
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Bank of America 2016
3
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4
Bank of America 2016
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Bank of America 2016
5
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6
Bank of America 2016
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Bank of America 2016
7
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8
Bank of America 2016
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Bank of America 2016
9
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10
Bank of America 2016
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Bank of America 2016
11
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12
Bank of America 2016
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Bank of America 2016
13
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14
Bank of America 2016
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Bank of America 2016
15
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16
Bank of America 2016
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Facility Name
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Location
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General Character of the Physical Property
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Primary Business Segment
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Property Status
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Property Square Feet
(1)
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Bank of America Corporate Center
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Charlotte, NC
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60 Story Building
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Principal Executive Offices
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Owned
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1,200,392
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Bank of America Tower at One Bryant Park
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New York, NY
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55 Story Building
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GWIM, Global Banking
and
Global Markets
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Leased
(2)
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1,836,575
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Bank of America Merrill Lynch Financial Centre
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London, UK
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4 Building Campus
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Global Banking
and
Global Markets
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Leased
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565,866
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Cheung Kong Center
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Hong Kong
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62 Story Building
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Global Banking
and
Global Markets
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Leased
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149,790
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(1)
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For leased properties, property square feet represents the square footage occupied by the Corporation.
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(2)
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The Corporation has a 49.9 percent joint venture interest in this property.
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Bank of America 2016
17
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Quarter
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High
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Low
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Dividend
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||||||
2015
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First
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$
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17.90
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$
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15.15
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$
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0.05
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Second
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17.67
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15.41
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0.05
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Third
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18.45
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15.26
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0.05
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Fourth
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17.95
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15.38
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0.05
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2016
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First
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16.43
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11.16
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0.05
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Second
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15.11
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12.18
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0.05
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Third
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16.19
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12.74
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0.075
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Fourth
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23.16
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15.63
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0.075
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(Dollars in millions, except per share information; shares in thousands)
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Common Shares Repurchased
(1)
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Weighted-Average Per Share Price
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Shares
Purchased as
Part of Publicly Announced Programs |
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Remaining Buyback
Authority Amounts
(2)
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October 1 - 31, 2016
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18,801
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$
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16.45
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18,800
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$
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3,291
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November 1 - 30, 2016
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30,128
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17.72
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30,128
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2,757
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December 1 - 31, 2016
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22,323
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21.76
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22,320
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2,271
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Three months ended December 31, 2016
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71,252
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18.65
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(1)
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Includes shares of the Corporation’s common stock acquired by the Corporation in connection with satisfaction of tax withholding obligations on vested restricted stock or restricted stock units and certain forfeitures and terminations of employment-related awards under equity incentive plans.
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(2)
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The Corporation's 2016 CCAR capital plan included a request to repurchase $5.0 billion of common stock over four quarters beginning in the third quarter of 2016 and to repurchase common stock to offset the dilution resulting from certain equity-based compensation awards. On June 29, 2016, following the Federal Reserve's non-objection to the Corporation's 2016 CCAR capital plan, the Board authorized this common stock repurchase beginning July 1, 2016. During the three months ended December 31, 2016, pursuant to the Board's authorization, the Corporation repurchased $1.3 billion of common stock, which included common stock to offset equity-based compensation awards. On January 13, 2017, the Corporation announced that the Board approved the repurchase of an additional $1.8 billion of common stock during the first and second quarters of 2017. Amounts shown in such column do not include such additional repurchase authority. For additional information, see Capital Management -- CCAR and Capital Planning on page
45
and
Note 13 – Shareholders’ Equity
to the Consolidated Financial Statements.
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18
Bank of America 2016
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Table of Contents
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Page
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Interest Rate Risk Management for the Banking Book
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201
5 Compared to 2014
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Overview
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Business Segment Operations
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92
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Bank of America 2016
19
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20
Bank of America 2016
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Bank of America 2016
21
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||||
Table 1
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Selected Financial Data
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(Dollars in millions, except per share information)
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2016
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2015
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|||||
Income statement
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Revenue, net of interest expense
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$
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83,701
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$
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82,965
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Net income
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17,906
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15,836
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Diluted earnings per common share
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1.50
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1.31
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Dividends paid per common share
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0.25
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0.20
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Performance ratios
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Return on average assets
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0.82
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%
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0.73
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%
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Return on average common shareholders' equity
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6.71
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6.24
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Return on average tangible common shareholders’ equity
(1)
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9.54
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9.08
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Efficiency ratio
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65.65
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69.59
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Balance sheet at year end
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Total loans and leases
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$
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906,683
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$
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896,983
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Total assets
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2,187,702
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2,144,287
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Total deposits
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1,260,934
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1,197,259
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Total common shareholders’ equity
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241,620
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233,903
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|||
Total shareholders’ equity
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266,840
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256,176
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(1)
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Return on average tangible common shareholders' equity is a non-GAAP financial measure. For additional information, see
Supplemental Financial Data
on page
27
, and for corresponding reconciliations to accounting principles generally accepted in the United States of America (GAAP) financial measures, see Statistical Table XV.
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||||
Table 2
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Summary Income Statement
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||||
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||||||
(Dollars in millions)
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2016
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2015
|
|||||
Net interest income
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$
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41,096
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$
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38,958
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Noninterest income
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42,605
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44,007
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|||
Total revenue, net of interest expense
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83,701
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82,965
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Provision for credit losses
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3,597
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3,161
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Noninterest expense
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54,951
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57,734
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|||
Income before income taxes
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25,153
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22,070
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Income tax expense
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7,247
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6,234
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Net income
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17,906
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15,836
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Preferred stock dividends
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1,682
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1,483
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Net income applicable to common shareholders
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$
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16,224
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$
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14,353
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||||
Per common share information
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|||||
Earnings
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$
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1.58
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$
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1.37
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Diluted earnings
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1.50
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1.31
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||||
Table 3
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Noninterest Income
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|
||||
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||||
(Dollars in millions)
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2016
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2015
|
|||||
Card income
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$
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5,851
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$
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5,959
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Service charges
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7,638
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7,381
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|||
Investment and brokerage services
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12,745
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13,337
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|||
Investment banking income
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5,241
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5,572
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Trading account profits
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6,902
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6,473
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Mortgage banking income
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1,853
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2,364
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Gains on sales of debt securities
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490
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1,138
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|||
Other income
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1,885
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1,783
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|||
Total noninterest income
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$
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42,605
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$
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44,007
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●
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Service charges
increased
$257 million
primarily due to higher treasury-related revenue.
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●
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Investment and brokerage services income
decreased
$592 million
driven by lower transactional revenue, and decreased asset management fees due to lower market valuations, partially offset by the impact of higher long-term assets under management (AUM) flows.
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●
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Investment banking income
decreased
$331 million
driven by lower equity issuance fees and advisory fees due to a decline in market fee pools
.
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●
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Trading account profits
increased
$429 million
due to a stronger performance across credit products led by mortgages and continued strength in rates products, partially offset by reduced client activity in equities.
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●
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Mortgage banking income
decreased
$511 million
primarily driven by a decline in production income, higher representations and warranties provision and lower servicing income, partially offset by more favorable mortgage servicing rights (MSR) results, net of the related hedge performance.
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●
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Gains on sales of debt securities decreased $648 million primarily driven by lower sales volume.
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22
Bank of America 2016
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●
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Other income
increased
$102 million
primarily due to lower debit valuation adjustment (DVA) losses on structured liabilities, improved results from loans and the related hedging activities in the fair value option portfolio, and lower PPI expense, partially offset by lower gains on asset sales. DVA losses related to structured liabilities were
$97 million
in
2016
compared to
$633 million
in
2015
.
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||||
Table 4
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Noninterest Expense
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|
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|
||||
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|
||||
(Dollars in millions)
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2016
|
|
2015
|
|||||
Personnel
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$
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31,616
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$
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32,868
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Occupancy
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4,038
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|
4,093
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|
|||
Equipment
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1,804
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|
2,039
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|||
Marketing
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1,703
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|
1,811
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|
|||
Professional fees
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1,971
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|
2,264
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|
|||
Amortization of intangibles
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730
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|
834
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|
|||
Data processing
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3,007
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|
3,115
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|||
Telecommunications
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746
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|
823
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|||
Other general operating
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9,336
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|
9,887
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|
|||
Total noninterest expense
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$
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54,951
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$
|
57,734
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|
||||
Table 5
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Income Tax Expense
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|
||||
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|
||||
(Dollars in millions)
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2016
|
|
2015
|
|||||
Income before income taxes
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$
|
25,153
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|
|
$
|
22,070
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|
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Income tax expense
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7,247
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|
|
6,234
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|
|||
Effective tax rate
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28.8
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%
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|
28.2
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%
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|
Bank of America 2016
23
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|||||
Table 6
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Selected Balance Sheet Data
|
|
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|
|||||
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|
|||||
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December 31
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|
|||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
% Change
|
||||||
Assets
|
|
|
|
|
|
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|
||||
Cash and cash equivalents
|
$
|
147,738
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|
|
$
|
159,353
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|
(7
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)%
|
|
Federal funds sold and securities borrowed or purchased under agreements to resell
|
198,224
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|
192,482
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|
3
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|
|||
Trading account assets
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180,209
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|
176,527
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|
2
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|
|||
Debt securities
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430,731
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|
406,888
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6
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|
|||
Loans and leases
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906,683
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|
896,983
|
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|
1
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|
|||
Allowance for loan and lease losses
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(11,237
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)
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(12,234
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)
|
|
(8
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)
|
|||
All other assets
|
335,354
|
|
|
324,288
|
|
|
3
|
|
|||
Total assets
|
$
|
2,187,702
|
|
|
$
|
2,144,287
|
|
|
2
|
|
|
Liabilities
|
|
|
|
|
|
|
|
||||
Deposits
|
$
|
1,260,934
|
|
|
$
|
1,197,259
|
|
|
5
|
|
|
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
170,291
|
|
|
174,291
|
|
|
(2
|
)
|
|||
Trading account liabilities
|
63,031
|
|
|
66,963
|
|
|
(6
|
)
|
|||
Short-term borrowings
|
23,944
|
|
|
28,098
|
|
|
(15
|
)
|
|||
Long-term debt
|
216,823
|
|
|
236,764
|
|
|
(8
|
)
|
|||
All other liabilities
|
185,839
|
|
|
184,736
|
|
|
1
|
|
|||
Total liabilities
|
1,920,862
|
|
|
1,888,111
|
|
|
2
|
|
|||
Shareholders’ equity
|
266,840
|
|
|
256,176
|
|
|
4
|
|
|||
Total liabilities and shareholders’ equity
|
$
|
2,187,702
|
|
|
$
|
2,144,287
|
|
|
2
|
|
24
Bank of America 2016
|
|
|
|
|
Bank of America 2016
25
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table 7
|
Five-year Summary of Selected Financial Data
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
(In millions, except per share information)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|||||||||||
Income statement
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net interest income
|
$
|
41,096
|
|
|
$
|
38,958
|
|
|
$
|
40,779
|
|
|
$
|
40,719
|
|
|
$
|
40,135
|
|
|
Noninterest income
|
42,605
|
|
|
44,007
|
|
|
45,115
|
|
|
46,783
|
|
|
42,663
|
|
||||||
Total revenue, net of interest expense
|
83,701
|
|
|
82,965
|
|
|
85,894
|
|
|
87,502
|
|
|
82,798
|
|
||||||
Provision for credit losses
|
3,597
|
|
|
3,161
|
|
|
2,275
|
|
|
3,556
|
|
|
8,169
|
|
||||||
Noninterest expense
|
54,951
|
|
|
57,734
|
|
|
75,656
|
|
|
69,213
|
|
|
72,094
|
|
||||||
Income before income taxes
|
25,153
|
|
|
22,070
|
|
|
7,963
|
|
|
14,733
|
|
|
2,535
|
|
||||||
Income tax expense (benefit)
|
7,247
|
|
|
6,234
|
|
|
2,443
|
|
|
4,194
|
|
|
(1,320
|
)
|
||||||
Net income
|
17,906
|
|
|
15,836
|
|
|
5,520
|
|
|
10,539
|
|
|
3,855
|
|
||||||
Net income applicable to common shareholders
|
16,224
|
|
|
14,353
|
|
|
4,476
|
|
|
9,190
|
|
|
2,427
|
|
||||||
Average common shares issued and outstanding
|
10,284
|
|
|
10,462
|
|
|
10,528
|
|
|
10,731
|
|
|
10,746
|
|
||||||
Average diluted common shares issued and outstanding
|
11,036
|
|
|
11,214
|
|
|
10,585
|
|
|
11,491
|
|
|
10,841
|
|
||||||
Performance ratios
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Return on average assets
|
0.82
|
%
|
|
0.73
|
%
|
|
0.26
|
%
|
|
0.49
|
%
|
|
0.18
|
%
|
||||||
Return on average common shareholders’ equity
|
6.71
|
|
|
6.24
|
|
|
2.01
|
|
|
4.21
|
|
|
1.12
|
|
||||||
Return on average tangible common shareholders’ equity
(1)
|
9.54
|
|
|
9.08
|
|
|
2.98
|
|
|
6.35
|
|
|
1.71
|
|
||||||
Return on average shareholder's equity
|
6.72
|
|
|
6.28
|
|
|
2.32
|
|
|
4.51
|
|
|
1.64
|
|
||||||
Return on average tangible shareholders’ equity
(1)
|
9.19
|
|
|
8.80
|
|
|
3.34
|
|
|
6.58
|
|
|
2.40
|
|
||||||
Total ending equity to total ending assets
|
12.20
|
|
|
11.95
|
|
|
11.57
|
|
|
11.06
|
|
|
10.72
|
|
||||||
Total average equity to total average assets
|
12.16
|
|
|
11.66
|
|
|
11.11
|
|
|
10.81
|
|
|
10.75
|
|
||||||
Dividend payout
|
15.86
|
|
|
14.56
|
|
|
28.20
|
|
|
4.66
|
|
|
18.03
|
|
||||||
Per common share data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Earnings
|
$
|
1.58
|
|
|
$
|
1.37
|
|
|
$
|
0.43
|
|
|
$
|
0.86
|
|
|
$
|
0.23
|
|
|
Diluted earnings
|
1.50
|
|
|
1.31
|
|
|
0.42
|
|
|
0.83
|
|
|
0.22
|
|
||||||
Dividends paid
|
0.25
|
|
|
0.20
|
|
|
0.12
|
|
|
0.04
|
|
|
0.04
|
|
||||||
Book value
|
24.04
|
|
|
22.53
|
|
|
21.32
|
|
|
20.69
|
|
|
20.24
|
|
||||||
Tangible book value
(1)
|
16.95
|
|
|
15.62
|
|
|
14.43
|
|
|
13.77
|
|
|
13.36
|
|
||||||
Market price per share of common stock
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Closing
|
$
|
22.10
|
|
|
$
|
16.83
|
|
|
$
|
17.89
|
|
|
$
|
15.57
|
|
|
$
|
11.61
|
|
|
High closing
|
23.16
|
|
|
18.45
|
|
|
18.13
|
|
|
15.88
|
|
|
11.61
|
|
||||||
Low closing
|
11.16
|
|
|
15.15
|
|
|
14.51
|
|
|
11.03
|
|
|
5.80
|
|
||||||
Market capitalization
|
$
|
222,163
|
|
|
$
|
174,700
|
|
|
$
|
188,141
|
|
|
$
|
164,914
|
|
|
$
|
125,136
|
|
(1)
|
Tangible equity ratios and tangible book value per share of common stock are non-GAAP financial measures. For more information on these ratios, see
Supplemental Financial Data
on page
27
, and for corresponding reconciliations to GAAP financial measures, see Statistical Table XV on page
108
.
|
(2)
|
For more information on the impact of the purchased credit-impaired (PCI) loan portfolio on asset quality, see
Consumer Portfolio Credit Risk Management
on page
56
.
|
(3)
|
Includes the allowance for loan and lease losses and the reserve for unfunded lending commitments.
|
(4)
|
Balances and ratios do not include loans accounted for under the fair value option. For additional exclusions from nonperforming loans, leases and foreclosed properties, see
Consumer Portfolio Credit Risk Management – Nonperforming Consumer Loans, Leases and Foreclosed Properties Activity
on page
64
and corresponding
Table 30
, and
Commercial Portfolio Credit Risk Management – Nonperforming Commercial Loans, Leases and Foreclosed Properties Activity
on page
70
and corresponding
Table 37
.
|
(5)
|
Asset quality metrics include $243 million of non-U.S. credit card allowance for loan and lease losses and $9.2 billion of non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(6)
|
Primarily includes amounts allocated to the U.S. credit card and unsecured consumer lending portfolios in
Consumer Banking
, PCI loans and the non-U.S. credit card portfolio in
All Other
.
|
(7)
|
Net charge-offs exclude
$340 million
,
$808 million
,
$810 million
,
$2.3 billion
and
$2.8 billion
of write-offs in the PCI loan portfolio for
2016
,
2015
,
2014
,
2013
and
2012
respectively. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(8)
|
Risk-based capital ratios are reported under Basel 3 Advanced - Transition at December 31, 2016 and 2015. We reported risk-based capital ratios under Basel 3 Standardized - Transition at December 31, 2014 and under the general risk-based approach at December 31, 2013 and 2012. For additional information, see
Capital Management
on page
45
.
|
26
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table 7
|
Five-year Summary of Selected Financial Data (continued)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|||||||||||
Average balance sheet
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total loans and leases
|
$
|
900,433
|
|
|
$
|
876,787
|
|
|
$
|
898,703
|
|
|
$
|
918,641
|
|
|
$
|
898,768
|
|
|
Total assets
|
2,189,971
|
|
|
2,160,197
|
|
|
2,145,393
|
|
|
2,163,296
|
|
|
2,191,361
|
|
||||||
Total deposits
|
1,222,561
|
|
|
1,155,860
|
|
|
1,124,207
|
|
|
1,089,735
|
|
|
1,047,782
|
|
||||||
Long-term debt
|
228,617
|
|
|
240,059
|
|
|
253,607
|
|
|
263,417
|
|
|
316,393
|
|
||||||
Common shareholders’ equity
|
241,621
|
|
|
230,173
|
|
|
222,907
|
|
|
218,340
|
|
|
216,999
|
|
||||||
Total shareholders’ equity
|
266,277
|
|
|
251,981
|
|
|
238,317
|
|
|
233,819
|
|
|
235,681
|
|
||||||
Asset quality
(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Allowance for credit losses
(3)
|
$
|
11,999
|
|
|
$
|
12,880
|
|
|
$
|
14,947
|
|
|
$
|
17,912
|
|
|
$
|
24,692
|
|
|
Nonperforming loans, leases and foreclosed properties
(4)
|
8,084
|
|
|
9,836
|
|
|
12,629
|
|
|
17,772
|
|
|
23,555
|
|
||||||
Allowance for loan and lease losses as a percentage of total loans and leases outstanding
(4, 5)
|
1.26
|
%
|
|
1.37
|
%
|
|
1.66
|
%
|
|
1.90
|
%
|
|
2.69
|
%
|
||||||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases
(4, 5)
|
149
|
|
|
130
|
|
|
121
|
|
|
102
|
|
|
107
|
|
||||||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases, excluding the PCI loan portfolio
(4, 5)
|
144
|
|
|
122
|
|
|
107
|
|
|
87
|
|
|
82
|
|
||||||
Amounts included in allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases
(6)
|
$
|
3,951
|
|
|
$
|
4,518
|
|
|
$
|
5,944
|
|
|
$
|
7,680
|
|
|
$
|
12,021
|
|
|
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases, excluding the allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases
(4, 6)
|
98
|
%
|
|
82
|
%
|
|
71
|
%
|
|
57
|
%
|
|
54
|
%
|
||||||
Net charge-offs
(7)
|
$
|
3,821
|
|
|
$
|
4,338
|
|
|
$
|
4,383
|
|
|
$
|
7,897
|
|
|
$
|
14,908
|
|
|
Net charge-offs as a percentage of average loans and leases outstanding
(4, 7)
|
0.43
|
%
|
|
0.50
|
%
|
|
0.49
|
%
|
|
0.87
|
%
|
|
1.67
|
%
|
||||||
Net charge-offs as a percentage of average loans and leases outstanding, excluding the PCI loan portfolio
(4)
|
0.44
|
|
|
0.51
|
|
|
0.50
|
|
|
0.90
|
|
|
1.73
|
|
||||||
Net charge-offs and PCI write-offs as a percentage of average loans and leases outstanding
(4)
|
0.47
|
|
|
0.59
|
|
|
0.58
|
|
|
1.13
|
|
|
1.99
|
|
||||||
Nonperforming loans and leases as a percentage of total loans and leases outstanding
(4, 5)
|
0.85
|
|
|
1.05
|
|
|
1.38
|
|
|
1.87
|
|
|
2.52
|
|
||||||
Nonperforming loans, leases and foreclosed properties as a percentage of total loans, leases and foreclosed properties
(4, 5)
|
0.89
|
|
|
1.10
|
|
|
1.45
|
|
|
1.93
|
|
|
2.62
|
|
||||||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs
(5, 7)
|
3.00
|
|
|
2.82
|
|
|
3.29
|
|
|
2.21
|
|
|
1.62
|
|
||||||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs, excluding the PCI loan portfolio
(5)
|
2.89
|
|
|
2.64
|
|
|
2.91
|
|
|
1.89
|
|
|
1.25
|
|
||||||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs and PCI write-offs
(5)
|
2.76
|
|
|
2.38
|
|
|
2.78
|
|
|
1.70
|
|
|
1.36
|
|
||||||
Capital ratios at year end
(8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Risk-based capital:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Common equity tier 1 capital
|
11.0
|
%
|
|
10.2
|
%
|
|
12.3
|
%
|
|
n/a
|
|
|
n/a
|
|
||||||
Tier 1 common capital
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
10.9
|
%
|
|
10.8
|
%
|
||||||
Tier 1 capital
|
12.4
|
|
|
11.3
|
|
|
13.4
|
|
|
12.2
|
|
|
12.7
|
|
||||||
Total capital
|
14.3
|
|
|
13.2
|
|
|
16.5
|
|
|
15.1
|
|
|
16.1
|
|
||||||
Tier 1 leverage
|
8.9
|
|
|
8.6
|
|
|
8.2
|
|
|
7.7
|
|
|
7.2
|
|
||||||
Tangible equity
(1)
|
9.2
|
|
|
8.9
|
|
|
8.4
|
|
|
7.8
|
|
|
7.6
|
|
||||||
Tangible common equity
(1)
|
8.1
|
|
|
7.8
|
|
|
7.5
|
|
|
7.2
|
|
|
6.7
|
|
|
|
Bank of America 2016
27
|
●
|
Return on average tangible common shareholders’ equity measures our earnings contribution as a percentage of adjusted common shareholders’ equity. The tangible common equity ratio represents adjusted ending common shareholders’ equity divided by total assets less goodwill and certain acquired intangible assets (excluding MSRs), net of related deferred tax liabilities.
|
●
|
Return on average tangible shareholders’ equity measures our earnings contribution as a percentage of adjusted average total shareholders’ equity. The tangible equity ratio represents adjusted ending shareholders’ equity divided by total assets less goodwill and certain acquired intangible assets (excluding MSRs), net of related deferred tax liabilities.
|
●
|
Tangible book value per common share represents adjusted ending common shareholders’ equity divided by ending common shares outstanding.
|
|
|
|
|
|
28
Bank of America 2016
|
|
|
|
|
Bank of America 2016
29
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
Deposits
|
|
Consumer
Lending
|
|
Total Consumer Banking
|
|
|
|||||||||||||||||
(Dollars in millions)
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
|
% Change
|
|
|||||||||||||
Net interest income (FTE basis)
|
$
|
10,701
|
|
$
|
9,635
|
|
|
$
|
10,589
|
|
$
|
10,793
|
|
|
$
|
21,290
|
|
$
|
20,428
|
|
|
4
|
%
|
|
Noninterest income:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Card income
|
9
|
|
11
|
|
|
4,926
|
|
4,926
|
|
|
4,935
|
|
4,937
|
|
|
—
|
|
|||||||
Service charges
|
4,141
|
|
4,100
|
|
|
1
|
|
1
|
|
|
4,142
|
|
4,101
|
|
|
1
|
|
|||||||
Mortgage banking income
|
—
|
|
—
|
|
|
960
|
|
1,332
|
|
|
960
|
|
1,332
|
|
|
(28
|
)
|
|||||||
All other income
|
403
|
|
483
|
|
|
1
|
|
244
|
|
|
404
|
|
727
|
|
|
(44
|
)
|
|||||||
Total noninterest income
|
4,553
|
|
4,594
|
|
|
5,888
|
|
6,503
|
|
|
10,441
|
|
11,097
|
|
|
(6
|
)
|
|||||||
Total revenue, net of interest expense (FTE basis)
|
15,254
|
|
14,229
|
|
|
16,477
|
|
17,296
|
|
|
31,731
|
|
31,525
|
|
|
1
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Provision for credit losses
|
174
|
|
200
|
|
|
2,541
|
|
2,146
|
|
|
2,715
|
|
2,346
|
|
|
16
|
|
|||||||
Noninterest expense
|
9,678
|
|
9,856
|
|
|
7,975
|
|
8,860
|
|
|
17,653
|
|
18,716
|
|
|
(6
|
)
|
|||||||
Income before income taxes (FTE basis)
|
5,402
|
|
4,173
|
|
|
5,961
|
|
6,290
|
|
|
11,363
|
|
10,463
|
|
|
9
|
|
|||||||
Income tax expense (FTE basis)
|
1,992
|
|
1,521
|
|
|
2,198
|
|
2,293
|
|
|
4,190
|
|
3,814
|
|
|
10
|
|
|||||||
Net income
|
$
|
3,410
|
|
$
|
2,652
|
|
|
$
|
3,763
|
|
$
|
3,997
|
|
|
$
|
7,173
|
|
$
|
6,649
|
|
|
8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Net interest yield (FTE basis)
|
1.79
|
%
|
1.75
|
%
|
|
4.37
|
%
|
4.70
|
%
|
|
3.38
|
%
|
3.52
|
%
|
|
|
||||||||
Return on average allocated capital
|
28
|
|
22
|
|
|
17
|
|
19
|
|
|
21
|
|
20
|
|
|
|
||||||||
Efficiency ratio (FTE basis)
|
63.44
|
|
69.27
|
|
|
48.41
|
|
51.23
|
|
|
55.63
|
|
59.37
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Balance Sheet
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Average
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total loans and leases
|
$
|
4,809
|
|
$
|
4,713
|
|
|
$
|
240,999
|
|
$
|
227,719
|
|
|
$
|
245,808
|
|
$
|
232,432
|
|
|
6
|
|
|
Total earning assets
(1)
|
598,043
|
|
549,600
|
|
|
242,445
|
|
229,579
|
|
|
629,990
|
|
580,095
|
|
|
9
|
|
|||||||
Total assets
(1)
|
624,592
|
|
576,569
|
|
|
254,287
|
|
242,707
|
|
|
668,381
|
|
620,192
|
|
|
8
|
|
|||||||
Total deposits
|
592,417
|
|
544,685
|
|
|
7,237
|
|
8,191
|
|
|
599,654
|
|
552,876
|
|
|
8
|
|
|||||||
Allocated capital
|
12,000
|
|
12,000
|
|
|
22,000
|
|
21,000
|
|
|
34,000
|
|
33,000
|
|
|
3
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Year end
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total loans and leases
|
$
|
4,938
|
|
$
|
4,735
|
|
|
$
|
254,053
|
|
$
|
234,116
|
|
|
$
|
258,991
|
|
$
|
238,851
|
|
|
8
|
|
|
Total earning assets
(1)
|
631,172
|
|
576,108
|
|
|
255,511
|
|
235,496
|
|
|
662,704
|
|
605,012
|
|
|
10
|
|
|||||||
Total assets
(1)
|
658,316
|
|
603,448
|
|
|
268,002
|
|
248,571
|
|
|
702,339
|
|
645,427
|
|
|
9
|
|
|||||||
Total deposits
|
625,727
|
|
571,467
|
|
|
7,063
|
|
6,365
|
|
|
632,790
|
|
577,832
|
|
|
10
|
|
(1)
|
In segments and businesses where the total of liabilities and equity exceeds assets, we allocate assets from
All Other
to match the segments’ and businesses’ liabilities and allocated shareholders’ equity. As a result, total earning assets and total assets of the businesses may not equal total
Consumer Banking
.
|
30
Bank of America 2016
|
|
|
|
|
|
|
||||
Key Statistics
–
Deposits
|
|
|
|
||||
|
|
|
|
||||
|
2016
|
|
2015
|
||||
Total deposit spreads (excludes noninterest costs)
(1)
|
1.65
|
%
|
|
1.62
|
%
|
||
|
|
|
|
||||
Year end
|
|
|
|
||||
Client brokerage assets (in millions)
|
$
|
144,696
|
|
|
$
|
122,721
|
|
Online banking active accounts (units in thousands)
|
33,811
|
|
|
31,674
|
|
||
Mobile banking active users (units in thousands)
|
21,648
|
|
|
18,705
|
|
||
Financial centers
|
4,579
|
|
|
4,726
|
|
||
ATMs
|
15,928
|
|
|
16,038
|
|
(1)
|
Includes deposits held in Consumer Lending.
|
|
|
|
|
||||
Key Statistics
–
Consumer Lending
|
|
|
|
||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Total U.S. credit card
(1)
|
|
|
|
||||
Gross interest yield
|
9.29
|
%
|
|
9.16
|
%
|
||
Risk-adjusted margin
|
9.04
|
|
|
9.31
|
|
||
New accounts (in thousands)
|
4,979
|
|
|
4,973
|
|
||
Purchase volumes
|
$
|
226,432
|
|
|
$
|
221,378
|
|
Debit card purchase volumes
|
$
|
285,612
|
|
|
$
|
277,695
|
|
(1)
|
In addition to the U.S. credit card portfolio in
Consumer Banking
, the remaining U.S. credit card portfolio is in
GWIM
.
|
|
|
Bank of America 2016
31
|
|
|
|
|
||||
Mortgage Banking Income
|
|
|
|
||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Consumer Banking mortgage banking income
|
|
|
|
||||
Total production income
|
$
|
663
|
|
|
$
|
950
|
|
Net servicing income
|
|
|
|
||||
Servicing fees
|
708
|
|
|
855
|
|
||
Amortization of expected cash flows
(1)
|
(577
|
)
|
|
(661
|
)
|
||
Fair value changes of MSRs, net of risk management activities used to hedge certain market risks
(2)
|
166
|
|
|
188
|
|
||
Total net servicing income
|
297
|
|
|
382
|
|
||
Total Consumer Banking mortgage banking income
|
960
|
|
|
1,332
|
|
||
Other mortgage banking income
|
|
|
|
||||
Servicing fees
|
452
|
|
|
540
|
|
||
Amortization of expected cash flows
(1)
|
(74
|
)
|
|
(77
|
)
|
||
Fair value changes of MSRs, net of risk management activities used to hedge certain market risks
(2)
|
546
|
|
|
426
|
|
||
Other
|
(31
|
)
|
|
143
|
|
||
Total other mortgage banking income
(3)
|
893
|
|
|
1,032
|
|
||
Total consolidated mortgage banking income
|
$
|
1,853
|
|
|
$
|
2,364
|
|
(1)
|
Represents the net change in fair value of the MSR asset due to the recognition of modeled cash flows.
|
(2)
|
Includes changes in fair value of MSRs due to changes in inputs and assumptions, net of risk management activities, and gains (losses) on sales of MSRs. For additional information, see
Note 23 – Mortgage Servicing Rights
to the Consolidated Financial Statements
.
|
(3)
|
Includes $
889 million
and $
1.0 billion
of mortgage banking income recorded in
All Other
for
2016
and
2015
.
|
|
|
|
|
||||
Key Statistics
|
|
|
|
||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Loan production
(1)
:
|
|
|
|
|
|
||
Total
(2)
:
|
|
|
|
||||
First mortgage
|
$
|
64,153
|
|
|
$
|
56,930
|
|
Home equity
|
15,214
|
|
|
13,060
|
|
||
Consumer Banking:
|
|
|
|
|
|
||
First mortgage
|
$
|
44,510
|
|
|
$
|
40,878
|
|
Home equity
|
13,675
|
|
|
11,988
|
|
(1)
|
The loan production amounts represent the unpaid principal balance of loans and in the case of home equity, the principal amount of the total line of credit.
|
(2)
|
In addition to loan production in
Consumer Banking
, there is also first mortgage and home equity loan production in
GWIM.
|
32
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|||||
(Dollars in millions)
|
2016
|
|
2015
|
|
% Change
|
||||||
Net interest income (FTE basis)
|
$
|
5,759
|
|
|
$
|
5,527
|
|
|
4
|
%
|
|
Noninterest income:
|
|
|
|
|
|
||||||
Investment and brokerage services
|
10,316
|
|
|
10,792
|
|
|
(4
|
)
|
|||
All other income
|
1,575
|
|
|
1,715
|
|
|
(8
|
)
|
|||
Total noninterest income
|
11,891
|
|
|
12,507
|
|
|
(5
|
)
|
|||
Total revenue, net of interest expense (FTE basis)
|
17,650
|
|
|
18,034
|
|
|
(2
|
)
|
|||
|
|
|
|
|
|
||||||
Provision for credit losses
|
68
|
|
|
51
|
|
|
33
|
|
|||
Noninterest expense
|
13,182
|
|
|
13,943
|
|
|
(5
|
)
|
|||
Income before income taxes (FTE basis)
|
4,400
|
|
|
4,040
|
|
|
9
|
|
|||
Income tax expense (FTE basis)
|
1,629
|
|
|
1,473
|
|
|
11
|
|
|||
Net income
|
$
|
2,771
|
|
|
$
|
2,567
|
|
|
8
|
|
|
|
|
|
|
|
|
||||||
Net interest yield (FTE basis)
|
2.09
|
%
|
|
2.13
|
%
|
|
|
||||
Return on average allocated capital
|
21
|
|
|
21
|
|
|
|
||||
Efficiency ratio (FTE basis)
|
74.68
|
|
|
77.32
|
|
|
|
||||
|
|
|
|
|
|
||||||
Balance Sheet
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
||||||
Average
|
|
|
|
|
|
||||||
Total loans and leases
|
$
|
142,429
|
|
|
$
|
132,499
|
|
|
7
|
|
|
Total earning assets
|
275,800
|
|
|
259,020
|
|
|
6
|
|
|||
Total assets
|
291,479
|
|
|
275,950
|
|
|
6
|
|
|||
Total deposits
|
256,425
|
|
|
244,725
|
|
|
5
|
|
|||
Allocated capital
|
13,000
|
|
|
12,000
|
|
|
8
|
|
|||
|
|
|
|
|
|
||||||
Year end
|
|
|
|
|
|
|
|
|
|||
Total loans and leases
|
$
|
148,179
|
|
|
$
|
139,039
|
|
|
7
|
|
|
Total earning assets
|
283,152
|
|
|
279,597
|
|
|
1
|
|
|||
Total assets
|
298,932
|
|
|
296,271
|
|
|
1
|
|
|||
Total deposits
|
262,530
|
|
|
260,893
|
|
|
1
|
|
|
|
Bank of America 2016
33
|
|
|
|
|
||||
Key Indicators and Metrics
|
|
|
|
||||
|
|
|
|
||||
(Dollars in millions, except as noted)
|
2016
|
|
2015
|
||||
Revenue by Business
|
|
|
|
||||
Merrill Lynch Global Wealth Management
|
$
|
14,486
|
|
|
$
|
14,926
|
|
U.S. Trust
|
3,075
|
|
|
3,032
|
|
||
Other
(1)
|
89
|
|
|
76
|
|
||
Total revenue, net of interest expense (FTE basis)
|
$
|
17,650
|
|
|
$
|
18,034
|
|
|
|
|
|
||||
Client Balances by Business, at year end
|
|
|
|
||||
Merrill Lynch Global Wealth Management
|
$
|
2,102,175
|
|
|
$
|
1,986,502
|
|
U.S. Trust
|
406,392
|
|
|
388,604
|
|
||
Other
(1)
|
—
|
|
|
82,929
|
|
||
Total client balances
|
$
|
2,508,567
|
|
|
$
|
2,458,035
|
|
|
|
|
|
||||
Client Balances by Type, at year end
|
|
|
|
||||
Long-term assets under management
|
$
|
886,148
|
|
|
$
|
817,938
|
|
Liquidity assets under management
(1)
|
—
|
|
|
82,925
|
|
||
Assets under management
|
886,148
|
|
|
900,863
|
|
||
Brokerage assets
|
1,085,826
|
|
|
1,040,938
|
|
||
Assets in custody
|
123,066
|
|
|
113,239
|
|
||
Deposits
|
262,530
|
|
|
260,893
|
|
||
Loans and leases
(2)
|
150,997
|
|
|
142,102
|
|
||
Total client balances
|
$
|
2,508,567
|
|
|
$
|
2,458,035
|
|
|
|
|
|
||||
Assets Under Management Rollforward
|
|
|
|
||||
Assets under management, beginning of year
|
$
|
900,863
|
|
|
$
|
902,872
|
|
Net long-term client flows
|
38,572
|
|
|
34,441
|
|
||
Net liquidity client flows
|
(7,990
|
)
|
|
6,133
|
|
||
Market valuation/other
(1)
|
(45,297
|
)
|
|
(42,583
|
)
|
||
Total assets under management, end of year
|
$
|
886,148
|
|
|
$
|
900,863
|
|
|
|
|
|
||||
Associates, at year end
(3, 4)
|
|
|
|
||||
Number of financial advisors
|
16,830
|
|
|
16,687
|
|
||
Total wealth advisors, including financial advisors
|
18,688
|
|
|
18,515
|
|
||
Total primary sales professionals, including financial advisors and wealth advisors
|
19,676
|
|
|
19,462
|
|
||
|
|
|
|
||||
Merrill Lynch Global Wealth Management Metric
(4)
|
|
|
|
||||
Financial advisor productivity
(5)
(in thousands)
|
$
|
979
|
|
|
$
|
1,024
|
|
|
|
|
|
||||
U.S. Trust Metric, at year end
(4)
|
|
|
|
||||
Primary sales professionals
|
1,678
|
|
|
1,595
|
|
(1)
|
Includes the results of BofA Global Capital Management, the cash management division of Bank of America, and certain administrative items. Also reflects the sale to a third party of approximately $80 billion of BofA Global Capital Management's AUM during the three months ended June 30, 2016.
|
(2)
|
Includes margin receivables which are classified in customer and other receivables on the Consolidated Balance Sheet.
|
(3)
|
Includes financial advisors in the
Consumer Banking
segment of
2,201
and
2,187
at
December 31, 2016
and
2015
.
|
(4)
|
Associate headcount computation is based upon full-time equivalents.
|
(5)
|
Financial advisor productivity is defined as MLGWM total revenue, excluding the allocation of certain asset and liability management (ALM) activities, divided by the total number of financial advisors (excluding financial advisors in the
Consumer Banking
segment).
|
|
|
|
|
||||
Net Migration Summary
(1)
|
|
|
|
||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Total deposits, net – from
GWIM
|
$
|
(1,319
|
)
|
|
$
|
(218
|
)
|
Total loans, net – from
GWIM
|
(7
|
)
|
|
(97
|
)
|
||
Total brokerage, net – from
GWIM
|
(1,972
|
)
|
|
(2,416
|
)
|
(1)
|
Migration occurs primarily between
GWIM
and
Consumer Banking
.
|
34
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|||||
(Dollars in millions)
|
2016
|
|
2015
|
|
% Change
|
||||||
Net interest income (FTE basis)
|
$
|
9,942
|
|
|
$
|
9,244
|
|
|
8
|
%
|
|
Noninterest income:
|
|
|
|
|
|
||||||
Service charges
|
3,094
|
|
|
2,914
|
|
|
6
|
|
|||
Investment banking fees
|
2,884
|
|
|
3,110
|
|
|
(7
|
)
|
|||
All other income
|
2,510
|
|
|
2,353
|
|
|
7
|
|
|||
Total noninterest income
|
8,488
|
|
|
8,377
|
|
|
1
|
|
|||
Total revenue, net of interest expense (FTE basis)
|
18,430
|
|
|
17,621
|
|
|
5
|
|
|||
|
|
|
|
|
|
||||||
Provision for credit losses
|
883
|
|
|
686
|
|
|
29
|
|
|||
Noninterest expense
|
8,486
|
|
|
8,481
|
|
|
—
|
|
|||
Income before income taxes (FTE basis)
|
9,061
|
|
|
8,454
|
|
|
7
|
|
|||
Income tax expense (FTE basis)
|
3,341
|
|
|
3,114
|
|
|
7
|
|
|||
Net income
|
$
|
5,720
|
|
|
$
|
5,340
|
|
|
7
|
|
|
|
|
|
|
|
|
||||||
Net interest yield (FTE basis)
|
2.86
|
%
|
|
2.90
|
%
|
|
|
||||
Return on average allocated capital
|
15
|
|
|
15
|
|
|
|
||||
Efficiency ratio (FTE basis)
|
46.04
|
|
|
48.13
|
|
|
|
||||
|
|
|
|
|
|
||||||
Balance Sheet
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
||||||
Average
|
|
|
|
|
|
||||||
Total loans and leases
|
$
|
333,820
|
|
|
$
|
303,907
|
|
|
10
|
|
|
Total earning assets
|
347,489
|
|
|
318,977
|
|
|
9
|
|
|||
Total assets
|
396,705
|
|
|
369,001
|
|
|
8
|
|
|||
Total deposits
|
304,101
|
|
|
294,733
|
|
|
3
|
|
|||
Allocated capital
|
37,000
|
|
|
35,000
|
|
|
6
|
|
|||
|
|
|
|
|
|
||||||
Year end
|
|
|
|
|
|
||||||
Total loans and leases
|
$
|
339,271
|
|
|
$
|
323,687
|
|
|
5
|
|
|
Total earning assets
|
356,241
|
|
|
334,766
|
|
|
6
|
|
|||
Total assets
|
408,268
|
|
|
386,132
|
|
|
6
|
|
|||
Total deposits
|
306,430
|
|
|
296,162
|
|
|
3
|
|
|
|
Bank of America 2016
35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Global Corporate, Global Commercial and Business Banking
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
|
Global Corporate Banking
|
|
Global Commercial Banking
|
|
Business Banking
|
|
Total
|
||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||||||
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Business Lending
|
$
|
4,285
|
|
|
$
|
3,981
|
|
|
$
|
4,140
|
|
|
$
|
3,968
|
|
|
$
|
376
|
|
|
$
|
352
|
|
|
$
|
8,801
|
|
|
$
|
8,301
|
|
|
Global Transaction Services
|
2,982
|
|
|
2,793
|
|
|
2,718
|
|
|
2,649
|
|
|
739
|
|
|
703
|
|
|
6,439
|
|
|
6,145
|
|
|||||||||
Total revenue, net of interest expense
|
$
|
7,267
|
|
|
$
|
6,774
|
|
|
$
|
6,858
|
|
|
$
|
6,617
|
|
|
$
|
1,115
|
|
|
$
|
1,055
|
|
|
$
|
15,240
|
|
|
$
|
14,446
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Balance Sheet
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Average
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total loans and leases
|
$
|
152,944
|
|
|
$
|
138,025
|
|
|
$
|
163,341
|
|
|
$
|
148,735
|
|
|
$
|
17,506
|
|
|
$
|
17,072
|
|
|
$
|
333,791
|
|
|
$
|
303,832
|
|
|
Total deposits
|
142,593
|
|
|
138,142
|
|
|
126,253
|
|
|
123,007
|
|
|
35,256
|
|
|
33,588
|
|
|
304,102
|
|
|
294,737
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Year end
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total loans and leases
|
$
|
152,589
|
|
|
$
|
146,803
|
|
|
$
|
168,864
|
|
|
$
|
159,720
|
|
|
$
|
17,846
|
|
|
$
|
17,165
|
|
|
$
|
339,299
|
|
|
$
|
323,688
|
|
|
Total deposits
|
142,815
|
|
|
133,742
|
|
|
128,210
|
|
|
128,656
|
|
|
35,409
|
|
|
33,767
|
|
|
306,434
|
|
|
296,165
|
|
|
|
|
|
|
|
|
|
||||||||
Investment Banking Fees
|
|
|
|
|
|||||||||||
|
|
|
|
|
|
||||||||||
|
Global Banking
|
|
Total Corporation
|
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||
Products
|
|
|
|
|
|
|
|
||||||||
Advisory
|
$
|
1,156
|
|
|
$
|
1,354
|
|
|
$
|
1,269
|
|
|
$
|
1,503
|
|
Debt issuance
|
1,407
|
|
|
1,296
|
|
|
3,276
|
|
|
3,033
|
|
||||
Equity issuance
|
321
|
|
|
460
|
|
|
864
|
|
|
1,236
|
|
||||
Gross investment banking fees
|
2,884
|
|
|
3,110
|
|
|
5,409
|
|
|
5,772
|
|
||||
Self-led deals
|
(49
|
)
|
|
(57
|
)
|
|
(168
|
)
|
|
(200
|
)
|
||||
Total investment banking fees
|
$
|
2,835
|
|
|
$
|
3,053
|
|
|
$
|
5,241
|
|
|
$
|
5,572
|
|
36
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|||||
(Dollars in millions)
|
2016
|
|
2015
|
|
% Change
|
||||||
Net interest income (FTE basis)
|
$
|
4,558
|
|
|
$
|
4,191
|
|
|
9
|
%
|
|
Noninterest income:
|
|
|
|
|
|
||||||
Investment and brokerage services
|
2,102
|
|
|
2,221
|
|
|
(5
|
)
|
|||
Investment banking fees
|
2,296
|
|
|
2,401
|
|
|
(4
|
)
|
|||
Trading account profits
|
6,550
|
|
|
6,109
|
|
|
7
|
|
|||
All other income
|
584
|
|
|
91
|
|
|
n/m
|
|
|||
Total noninterest income
|
11,532
|
|
|
10,822
|
|
|
7
|
|
|||
Total revenue, net of interest expense (FTE basis)
|
16,090
|
|
|
15,013
|
|
|
7
|
|
|||
|
|
|
|
|
|
||||||
Provision for credit losses
|
31
|
|
|
99
|
|
|
(69
|
)
|
|||
Noninterest expense
|
10,170
|
|
|
11,374
|
|
|
(11
|
)
|
|||
Income before income taxes (FTE basis)
|
5,889
|
|
|
3,540
|
|
|
66
|
|
|||
Income tax expense (FTE basis)
|
2,072
|
|
|
1,117
|
|
|
85
|
|
|||
Net income
|
$
|
3,817
|
|
|
$
|
2,423
|
|
|
58
|
|
|
|
|
|
|
|
|
||||||
Return on average allocated capital
|
10
|
%
|
|
7
|
%
|
|
|
||||
Efficiency ratio (FTE basis)
|
63.21
|
|
|
75.75
|
|
|
|
||||
|
|
|
|
|
|
||||||
Balance Sheet
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
||||||
Average
|
|
|
|
|
|
||||||
Trading-related assets:
|
|
|
|
|
|
||||||
Trading account securities
|
$
|
185,135
|
|
|
$
|
195,650
|
|
|
(5
|
)
|
|
Reverse repurchases
|
89,715
|
|
|
103,506
|
|
|
(13
|
)
|
|||
Securities borrowed
|
87,286
|
|
|
79,494
|
|
|
10
|
|
|||
Derivative assets
|
50,769
|
|
|
54,519
|
|
|
(7
|
)
|
|||
Total trading-related assets
(1)
|
412,905
|
|
|
433,169
|
|
|
(5
|
)
|
|||
Total loans and leases
|
69,641
|
|
|
63,443
|
|
|
10
|
|
|||
Total earning assets
(1)
|
423,579
|
|
|
430,468
|
|
|
(2
|
)
|
|||
Total assets
|
585,342
|
|
|
594,057
|
|
|
(1
|
)
|
|||
Total deposits
|
34,250
|
|
|
38,074
|
|
|
(10
|
)
|
|||
Allocated capital
|
37,000
|
|
|
35,000
|
|
|
6
|
|
|||
|
|
|
|
|
|
||||||
Year end
|
|
|
|
|
|
||||||
Total trading-related assets
(1)
|
$
|
380,562
|
|
|
$
|
373,926
|
|
|
2
|
|
|
Total loans and leases
|
72,743
|
|
|
73,208
|
|
|
(1
|
)
|
|||
Total earning assets
(1)
|
397,023
|
|
|
384,046
|
|
|
3
|
|
|||
Total assets
|
566,060
|
|
|
548,790
|
|
|
3
|
|
|||
Total deposits
|
34,927
|
|
|
37,038
|
|
|
(6
|
)
|
(1)
|
Trading-related assets include derivative assets, which are considered non-earning assets.
|
|
|
Bank of America 2016
37
|
|
|
|
|
||||
Sales and Trading Revenue
(1, 2)
|
|||||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Sales and trading revenue
|
|
|
|
||||
Fixed-income, currencies and commodities
|
$
|
9,373
|
|
|
$
|
7,869
|
|
Equities
|
4,017
|
|
|
4,335
|
|
||
Total sales and trading revenue
|
$
|
13,390
|
|
|
$
|
12,204
|
|
|
|
|
|
||||
Sales and trading revenue, excluding net DVA
(3)
|
|
|
|
||||
Fixed-income, currencies and commodities
|
$
|
9,611
|
|
|
$
|
8,632
|
|
Equities
|
4,017
|
|
|
4,358
|
|
||
Total sales and trading revenue, excluding net DVA
|
$
|
13,628
|
|
|
$
|
12,990
|
|
(1)
|
Includes FTE adjustments of
$184 million
and
$182 million
for
2016
and
2015
. For more information on sales and trading revenue, see
Note 2 – Derivatives
to the Consolidated Financial Statements
.
|
(2)
|
Includes
Global Banking
sales and trading revenue of
$406 million
and
$424 million
for
2016
and
2015
.
|
(3)
|
Fixed-income, currencies and commodities (FICC) and Equities sales and trading revenue, excluding net DVA, is a non-GAAP financial measure. FICC net DVA
losses
were
$238 million
for
2016
compared to net DVA
losses
of
$763 million
in
2015
. Equities net DVA
losses
were
$0
for
2016
compared to net DVA
losses
of
$23 million
in
2015
.
|
38
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|||||
(Dollars in millions)
|
2016
|
|
2015
|
|
% Change
|
||||||
Net interest income (FTE basis)
|
$
|
447
|
|
|
$
|
457
|
|
|
(2
|
)%
|
|
Noninterest income:
|
|
|
|
|
|
||||||
Card income
|
189
|
|
|
260
|
|
|
(27
|
)
|
|||
Mortgage banking income
|
889
|
|
|
1,022
|
|
|
(13
|
)
|
|||
Gains on sales of debt securities
|
490
|
|
|
1,126
|
|
|
(56
|
)
|
|||
All other loss
|
(1,315
|
)
|
|
(1,204
|
)
|
|
9
|
|
|||
Total noninterest income
|
253
|
|
|
1,204
|
|
|
(79
|
)
|
|||
Total revenue, net of interest expense (FTE basis)
|
700
|
|
|
1,661
|
|
|
(58
|
)
|
|||
|
|
|
|
|
|
||||||
Provision for credit losses
|
(100
|
)
|
|
(21
|
)
|
|
n/m
|
|
|||
Noninterest expense
|
5,460
|
|
|
5,220
|
|
|
5
|
|
|||
Loss before income taxes (FTE basis)
|
(4,660
|
)
|
|
(3,538
|
)
|
|
32
|
|
|||
Income tax benefit (FTE basis)
|
(3,085
|
)
|
|
(2,395
|
)
|
|
29
|
|
|||
Net loss
|
$
|
(1,575
|
)
|
|
$
|
(1,143
|
)
|
|
38
|
|
|
|
|
|
|
|
|
|
|||||
Balance Sheet
(1)
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|||||
Average
|
|
|
|
|
|
||||||
Total loans and leases
|
$
|
108,735
|
|
|
$
|
144,506
|
|
|
(25
|
)
|
|
Total deposits
|
28,131
|
|
|
25,452
|
|
|
11
|
|
|||
|
|
|
|
|
|
|
|||||
Year end
|
|
|
|
|
|
||||||
Total loans and leases
(2)
|
$
|
96,713
|
|
|
$
|
122,198
|
|
|
(21
|
)
|
|
Total deposits
|
24,257
|
|
|
25,334
|
|
|
(4
|
)
|
(1)
|
In segments where the total of liabilities and equity exceeds assets, which are generally deposit-taking segments, we allocate assets from
All Other
to those segments to match liabilities (i.e., deposits) and allocated shareholders’ equity. Such allocated assets were
$500.0 billion
and
$463.4 billion
for
2016
and
2015
, and
$518.7 billion
and
$489.0 billion
at
December 31, 2016
and
2015
.
|
(2)
|
Includes $9.2 billion of non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet.
|
|
|
Bank of America 2016
39
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 9
|
Contractual Obligations
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31, 2016
|
|
December 31
2015 |
||||||||||||||||||||
(Dollars in millions)
|
Due in One
Year or Less
|
|
Due After
One Year Through
Three Years
|
|
Due After
Three Years Through
Five Years
|
|
Due After
Five Years
|
|
Total
|
|
Total
|
|||||||||||||
Long-term debt
|
$
|
43,964
|
|
|
$
|
60,106
|
|
|
$
|
26,034
|
|
|
$
|
86,719
|
|
|
$
|
216,823
|
|
|
$
|
236,764
|
|
|
Operating lease obligations
|
2,324
|
|
|
3,877
|
|
|
2,908
|
|
|
4,511
|
|
|
13,620
|
|
|
13,681
|
|
|||||||
Purchase obligations
|
2,089
|
|
|
2,019
|
|
|
604
|
|
|
1,030
|
|
|
5,742
|
|
|
5,350
|
|
|||||||
Time deposits
|
65,112
|
|
|
5,961
|
|
|
3,369
|
|
|
502
|
|
|
74,944
|
|
|
73,974
|
|
|||||||
Other long-term liabilities
|
1,991
|
|
|
837
|
|
|
648
|
|
|
1,091
|
|
|
4,567
|
|
|
4,311
|
|
|||||||
Estimated interest expense on long-term debt and time deposits
(1)
|
4,814
|
|
|
9,852
|
|
|
4,910
|
|
|
19,871
|
|
|
39,447
|
|
|
43,898
|
|
|||||||
Total contractual obligations
|
$
|
120,294
|
|
|
$
|
82,652
|
|
|
$
|
38,473
|
|
|
$
|
113,724
|
|
|
$
|
355,143
|
|
|
$
|
377,978
|
|
(1)
|
Represents forecasted net interest expense on long-term debt and time deposits based on interest rates at
December 31, 2016
. Forecasts are based on the contractual maturity dates of each liability, and are net of derivative hedges, where applicable.
|
40
Bank of America 2016
|
|
|
●
|
Strategic risk is the risk resulting from incorrect assumptions about external or internal factors, inappropriate business plans, ineffective business strategy execution, or failure to respond in a timely manner to changes in the regulatory, macroeconomic or competitive environments.
|
●
|
Credit risk is the risk of loss arising from the inability or failure of a borrower or counterparty to meet its obligations.
|
●
|
Market risk is the risk that changes in market conditions may adversely impact the value of assets or liabilities, or otherwise negatively impact earnings.
|
●
|
Liquidity risk is the inability to meet expected or unexpected cash flow and collateral needs while continuing to support our businesses and customers with the appropriate funding sources under a range of economic conditions.
|
●
|
Compliance risk is the risk of legal or regulatory sanctions, material financial loss or damage to the reputation of the Corporation arising from the failure of the Corporation to comply with the requirements of applicable laws, rules, regulations and related self-regulatory organizations’ standards and codes of conduct.
|
●
|
Operational risk is the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events.
|
●
|
Reputational risk is the risk that negative perceptions of the Corporation’s conduct or business practices may adversely impact its profitability or operations through an inability to establish new or maintain existing customer/client relationships or otherwise adversely impact relationships with key stakeholders, such as investors, regulators, employees and the community.
|
|
|
Bank of America 2016
41
|
42
Bank of America 2016
|
|
|
|
|
Bank of America 2016
43
|
44
Bank of America 2016
|
|
|
|
|
Bank of America 2016
45
|
46
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table 10
|
Bank of America Corporation Regulatory Capital under Basel 3
(1)
|
|
|
|
|
|||||||||||||||||
|
|
|
||||||||||||||||||||
|
|
December 31, 2016
|
||||||||||||||||||||
|
|
Transition
|
|
Fully Phased-in
|
||||||||||||||||||
(Dollars in millions)
|
Standardized
Approach
|
|
Advanced
Approaches
|
|
Regulatory Minimum
(2, 3)
|
|
Standardized
Approach
|
|
Advanced
Approaches
(4)
|
|
Regulatory Minimum
(5)
|
|||||||||||
Risk-based capital metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Common equity tier 1 capital
|
$
|
168,866
|
|
|
$
|
168,866
|
|
|
|
|
$
|
162,729
|
|
|
$
|
162,729
|
|
|
|
|||
Tier 1 capital
|
190,315
|
|
|
190,315
|
|
|
|
|
187,559
|
|
|
187,559
|
|
|
|
|||||||
Total capital
(6)
|
228,187
|
|
|
218,981
|
|
|
|
|
223,130
|
|
|
213,924
|
|
|
|
|||||||
Risk-weighted assets (in billions)
|
1,399
|
|
|
1,530
|
|
|
|
|
1,417
|
|
|
1,512
|
|
|
|
|||||||
Common equity tier 1 capital ratio
|
12.1
|
%
|
|
11.0
|
%
|
|
5.875
|
%
|
|
11.5
|
%
|
|
10.8
|
%
|
|
9.5
|
%
|
|||||
Tier 1 capital ratio
|
13.6
|
|
|
12.4
|
|
|
7.375
|
|
|
13.2
|
|
|
12.4
|
|
|
11.0
|
|
|||||
Total capital ratio
|
16.3
|
|
|
14.3
|
|
|
9.375
|
|
|
15.8
|
|
|
14.2
|
|
|
13.0
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Leverage-based metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Adjusted quarterly average assets (in billions)
(7)
|
$
|
2,131
|
|
|
$
|
2,131
|
|
|
|
|
$
|
2,131
|
|
|
$
|
2,131
|
|
|
|
|||
Tier 1 leverage ratio
|
8.9
|
%
|
|
8.9
|
%
|
|
4.0
|
|
|
8.8
|
%
|
|
8.8
|
%
|
|
4.0
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
SLR leverage exposure (in billions)
|
|
|
|
|
|
|
|
|
$
|
2,702
|
|
|
|
|||||||||
SLR
|
|
|
|
|
|
|
|
|
6.9
|
%
|
|
5.0
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
December 31, 2015
|
||||||||||||||||||||
Risk-based capital metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Common equity tier 1 capital
|
$
|
163,026
|
|
|
$
|
163,026
|
|
|
|
|
$
|
154,084
|
|
|
$
|
154,084
|
|
|
|
|||
Tier 1 capital
|
180,778
|
|
|
180,778
|
|
|
|
|
175,814
|
|
|
175,814
|
|
|
|
|||||||
Total capital
(6)
|
220,676
|
|
|
210,912
|
|
|
|
|
211,167
|
|
|
201,403
|
|
|
|
|||||||
Risk-weighted assets (in billions)
|
1,403
|
|
|
1,602
|
|
|
|
|
1,427
|
|
|
1,575
|
|
|
|
|||||||
Common equity tier 1 capital ratio
|
11.6
|
%
|
|
10.2
|
%
|
|
4.5
|
%
|
|
10.8
|
%
|
|
9.8
|
%
|
|
9.5
|
%
|
|||||
Tier 1 capital ratio
|
12.9
|
|
|
11.3
|
|
|
6.0
|
|
|
12.3
|
|
|
11.2
|
|
|
11.0
|
|
|||||
Total capital ratio
|
15.7
|
|
|
13.2
|
|
|
8.0
|
|
|
14.8
|
|
|
12.8
|
|
|
13.0
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Leverage-based metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Adjusted quarterly average assets (in billions)
(7)
|
$
|
2,103
|
|
|
$
|
2,103
|
|
|
|
|
$
|
2,102
|
|
|
$
|
2,102
|
|
|
|
|||
Tier 1 leverage ratio
|
8.6
|
%
|
|
8.6
|
%
|
|
4.0
|
|
|
8.4
|
%
|
|
8.4
|
%
|
|
4.0
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
SLR leverage exposure (in billions)
|
|
|
|
|
|
|
|
|
$
|
2,727
|
|
|
|
|||||||||
SLR
|
|
|
|
|
|
|
|
|
6.4
|
%
|
|
5.0
|
|
(1)
|
As an Advanced approaches institution, we are required to report regulatory capital risk-weighted assets and ratios under both the Standardized and Advanced approaches. The approach that yields the lower ratio is to be used to assess capital adequacy and was the Advanced approaches method at
December 31, 2016 and 2015
.
|
(2)
|
The
December 31, 2016
amount includes a transition capital conservation buffer of 0.625 percent and a transition G-SIB surcharge of 0.75 percent. The 2016 countercyclical capital buffer is zero.
|
(3)
|
To be “well capitalized” under the current U.S. banking regulatory agency definitions, we must maintain a Total capital ratio of 10 percent or greater.
|
(4)
|
Basel 3 fully phased-in Advanced approaches estimates assume approval by U.S. banking regulators of our internal analytical models, including approval of the internal models methodology (IMM). As of
December 31, 2016
, we did not have regulatory approval of the IMM model.
|
(5)
|
Fully phased-in regulatory minimums assume a capital conservation buffer of
2.5 percent
and estimated G-SIB surcharge of
2.5 percent
. The estimated fully phased-in countercyclical capital buffer is
zero
. We will be subject to fully phased-in regulatory minimums on January 1, 2019. The fully phased-in SLR minimum assumes a leverage buffer of 2.0 percent and is applicable on January 1, 2018.
|
(6)
|
Total capital under the Advanced approaches differs from the Standardized approach due to differences in the amount permitted in Tier 2 capital related to the qualifying allowance for credit losses.
|
(7)
|
Reflects adjusted average total assets for the three months ended
December 31, 2016 and 2015
.
|
|
|
Bank of America 2016
47
|
|
|
|
|
|
||||
Table 11
|
Capital Composition under Basel 3 – Transition
(1, 2)
|
|
|
|
||||
|
|
|
|
|
||||
|
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
Total common shareholders’ equity
|
$
|
241,620
|
|
|
$
|
233,932
|
|
|
Goodwill
|
(69,191
|
)
|
|
(69,215
|
)
|
|||
Deferred tax assets arising from net operating loss and tax credit carryforwards
|
(4,976
|
)
|
|
(3,434
|
)
|
|||
Adjustments for amounts recorded in accumulated OCI attributed to defined benefit postretirement plans
|
1,392
|
|
|
1,774
|
|
|||
Net unrealized (gains) losses on debt and equity securities and net (gains) losses on derivatives recorded in accumulated OCI, net-of-tax
|
1,402
|
|
|
1,220
|
|
|||
Intangibles, other than mortgage servicing rights and goodwill
|
(1,198
|
)
|
|
(1,039
|
)
|
|||
DVA related to liabilities and derivatives
|
413
|
|
|
204
|
|
|||
Other
|
(596
|
)
|
|
(416
|
)
|
|||
Common equity tier 1 capital
|
168,866
|
|
|
163,026
|
|
|||
Qualifying preferred stock, net of issuance cost
|
25,220
|
|
|
22,273
|
|
|||
Deferred tax assets arising from net operating loss and tax credit carryforwards
|
(3,318
|
)
|
|
(5,151
|
)
|
|||
Trust preferred securities
|
—
|
|
|
1,430
|
|
|||
Defined benefit pension fund assets
|
(341
|
)
|
|
(568
|
)
|
|||
DVA related to liabilities and derivatives under transition
|
276
|
|
|
307
|
|
|||
Other
|
(388
|
)
|
|
(539
|
)
|
|||
Total Tier 1 capital
|
190,315
|
|
|
180,778
|
|
|||
Long-term debt qualifying as Tier 2 capital
|
23,365
|
|
|
22,579
|
|
|||
Eligible credit reserves included in Tier 2 capital
|
3,035
|
|
|
3,116
|
|
|||
Nonqualifying capital instruments subject to phase out from Tier 2 capital
|
2,271
|
|
|
4,448
|
|
|||
Other
|
(5
|
)
|
|
(9
|
)
|
|||
Total Basel 3 Capital
|
$
|
218,981
|
|
|
$
|
210,912
|
|
(1)
|
See
Table 10
, footnote 1.
|
(2)
|
Deductions from and adjustments to regulatory capital subject to transition provisions under Basel 3 are generally recognized in 20 percent annual increments, and will be fully recognized as of January 1, 2018. Any assets that are a direct deduction from the computation of capital are excluded from risk-weighted assets and adjusted average total assets.
|
|
|
|
|
|
|
|
|
|
||||||||
Table 12
|
Risk-weighted assets under Basel 3 – Transition
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
December 31
|
|||||||||||||||
|
2016
|
|
2015
|
|||||||||||||
(Dollars in billions)
|
Standardized Approach
|
|
Advanced Approaches
|
|
Standardized Approach
|
|
Advanced Approaches
|
|||||||||
Credit risk
|
$
|
1,334
|
|
|
$
|
903
|
|
|
$
|
1,314
|
|
|
$
|
940
|
|
|
Market risk
|
65
|
|
|
63
|
|
|
89
|
|
|
86
|
|
|||||
Operational risk
|
n/a
|
|
|
500
|
|
|
n/a
|
|
|
500
|
|
|||||
Risks related to CVA
|
n/a
|
|
|
64
|
|
|
n/a
|
|
|
76
|
|
|||||
Total risk-weighted assets
|
$
|
1,399
|
|
|
$
|
1,530
|
|
|
$
|
1,403
|
|
|
$
|
1,602
|
|
48
Bank of America 2016
|
|
|
|
|
|
|
|
||||
Table 13
|
Regulatory Capital Reconciliations between Basel 3 Transition to Fully Phased-in
(1)
|
|||||||
|
|
|
|
|||||
|
December 31
|
|||||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
Common equity tier 1 capital (transition)
|
$
|
168,866
|
|
|
$
|
163,026
|
|
|
Deferred tax assets arising from net operating loss and tax credit carryforwards phased in during transition
|
(3,318
|
)
|
|
(5,151
|
)
|
|||
Accumulated OCI phased in during transition
|
(1,899
|
)
|
|
(1,917
|
)
|
|||
Intangibles phased in during transition
|
(798
|
)
|
|
(1,559
|
)
|
|||
Defined benefit pension fund assets phased in during transition
|
(341
|
)
|
|
(568
|
)
|
|||
DVA related to liabilities and derivatives phased in during transition
|
276
|
|
|
307
|
|
|||
Other adjustments and deductions phased in during transition
|
(57
|
)
|
|
(54
|
)
|
|||
Common equity tier 1 capital (fully phased-in)
|
162,729
|
|
|
154,084
|
|
|||
Additional Tier 1 capital (transition)
|
21,449
|
|
|
17,752
|
|
|||
Deferred tax assets arising from net operating loss and tax credit carryforwards phased out during transition
|
3,318
|
|
|
5,151
|
|
|||
Trust preferred securities phased out during transition
|
—
|
|
|
(1,430
|
)
|
|||
Defined benefit pension fund assets phased out during transition
|
341
|
|
|
568
|
|
|||
DVA related to liabilities and derivatives phased out during transition
|
(276
|
)
|
|
(307
|
)
|
|||
Other transition adjustments to additional Tier 1 capital
|
(2
|
)
|
|
(4
|
)
|
|||
Additional Tier 1 capital (fully phased-in)
|
24,830
|
|
|
21,730
|
|
|||
Tier 1 capital (fully phased-in)
|
187,559
|
|
|
175,814
|
|
|||
Tier 2 capital (transition)
|
28,666
|
|
|
30,134
|
|
|||
Nonqualifying capital instruments phased out during transition
|
(2,271
|
)
|
|
(4,448
|
)
|
|||
Other adjustments to Tier 2 capital
|
9,176
|
|
|
9,667
|
|
|||
Tier 2 capital (fully phased-in)
|
35,571
|
|
|
35,353
|
|
|||
Basel 3 Standardized approach Total capital (fully phased-in)
|
223,130
|
|
|
211,167
|
|
|||
Change in Tier 2 qualifying allowance for credit losses
|
(9,206
|
)
|
|
(9,764
|
)
|
|||
Basel 3 Advanced approaches Total capital (fully phased-in)
|
$
|
213,924
|
|
|
$
|
201,403
|
|
|
|
|
|
|
|||||
Risk-weighted assets – As reported to Basel 3 (fully phased-in)
|
|
|
|
|||||
Basel 3 Standardized approach risk-weighted assets as reported
|
$
|
1,399,477
|
|
|
$
|
1,403,293
|
|
|
Changes in risk-weighted assets from reported to fully phased-in
|
17,638
|
|
|
24,089
|
|
|||
Basel 3 Standardized approach risk-weighted assets (fully phased-in)
|
$
|
1,417,115
|
|
|
$
|
1,427,382
|
|
|
|
|
|
|
|||||
Basel 3 Advanced approaches risk-weighted assets as reported
|
$
|
1,529,903
|
|
|
$
|
1,602,373
|
|
|
Changes in risk-weighted assets from reported to fully phased-in
|
(18,113
|
)
|
|
(27,690
|
)
|
|||
Basel 3 Advanced approaches risk-weighted assets (fully phased-in)
(2)
|
$
|
1,511,790
|
|
|
$
|
1,574,683
|
|
(1)
|
See
Table 10
, footnote 1.
|
(2)
|
Basel 3 fully phased-in Advanced approaches estimates assume approval by U.S. banking regulators of our internal analytical models, including approval of the IMM. As of
December 31, 2016
, we did not have regulatory approval for the IMM model.
|
|
|
Bank of America 2016
49
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Table 14
|
Bank of America, N.A. Regulatory Capital under Basel 3
|
|
|
|||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31, 2016
|
||||||||||||||||||
|
|
Standardized Approach
|
|
Advanced Approaches
|
||||||||||||||||
(Dollars in millions)
|
Ratio
|
|
Amount
|
|
Minimum
Required (1) |
|
Ratio
|
|
Amount
|
|
Minimum
Required (1) |
|||||||||
Common equity tier 1 capital
|
12.7
|
%
|
|
$
|
149,755
|
|
|
6.5
|
%
|
|
14.3
|
%
|
|
$
|
149,755
|
|
|
6.5
|
%
|
|
Tier 1 capital
|
12.7
|
|
|
149,755
|
|
|
8.0
|
|
|
14.3
|
|
|
149,755
|
|
|
8.0
|
|
|||
Total capital
|
13.9
|
|
|
163,471
|
|
|
10.0
|
|
|
14.8
|
|
|
154,697
|
|
|
10.0
|
|
|||
Tier 1 leverage
|
9.3
|
|
|
149,755
|
|
|
5.0
|
|
|
9.3
|
|
|
149,755
|
|
|
5.0
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31, 2015
|
||||||||||||||||||
Common equity tier 1 capital
|
12.2
|
%
|
|
$
|
144,869
|
|
|
6.5
|
%
|
|
13.1
|
%
|
|
$
|
144,869
|
|
|
6.5
|
%
|
|
Tier 1 capital
|
12.2
|
|
|
144,869
|
|
|
8.0
|
|
|
13.1
|
|
|
144,869
|
|
|
8.0
|
|
|||
Total capital
|
13.5
|
|
|
159,871
|
|
|
10.0
|
|
|
13.6
|
|
|
150,624
|
|
|
10.0
|
|
|||
Tier 1 leverage
|
9.2
|
|
|
144,869
|
|
|
5.0
|
|
|
9.2
|
|
|
144,869
|
|
|
5.0
|
|
(1)
|
Percent required to meet guidelines to be considered “well capitalized” under the PCA framework.
|
50
Bank of America 2016
|
|
|
|
|
Bank of America 2016
51
|
|
|
|
|
|
|
||||||
Table 15
|
Global Liquidity Sources
|
|
|||||||||
|
|
|
|
||||||||
|
|
December 31
|
Average for Three Months Ended December 31 2016
|
||||||||
(Dollars in billions)
|
2016
|
|
2015
|
||||||||
Parent company and NB Holdings
|
$
|
76
|
|
|
$
|
96
|
|
$
|
77
|
|
|
Bank subsidiaries
|
372
|
|
|
361
|
|
389
|
|
||||
Other regulated entities
|
51
|
|
|
47
|
|
49
|
|
||||
Total Global Liquidity Sources
|
$
|
499
|
|
|
$
|
504
|
|
$
|
515
|
|
|
|
|
|
|
||||
Table 16
|
Global Liquidity Sources Composition
|
|||||||
|
|
|
||||||
|
|
December 31
|
||||||
(Dollars in billions)
|
2016
|
|
2015
|
|||||
Cash on deposit
|
$
|
106
|
|
|
$
|
119
|
|
|
U.S. Treasury securities
|
58
|
|
|
38
|
|
|||
U.S. agency securities and mortgage-backed securities
|
318
|
|
|
327
|
|
|||
Non-U.S. government and supranational securities
|
17
|
|
|
20
|
|
|||
Total Global Liquidity Sources
|
$
|
499
|
|
|
$
|
504
|
|
52
Bank of America 2016
|
|
|
|
|
|
|
|
||||
Table 17
|
Long-term Debt by Major Currency
|
|||||||
|
|
|
||||||
|
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
U.S. Dollar
|
$
|
172,082
|
|
|
$
|
190,381
|
|
|
Euro
|
28,236
|
|
|
29,797
|
|
|||
British Pound
|
6,588
|
|
|
7,080
|
|
|||
Japanese Yen
|
3,919
|
|
|
3,099
|
|
|||
Australian Dollar
|
2,900
|
|
|
2,534
|
|
|||
Canadian Dollar
|
1,049
|
|
|
1,428
|
|
|||
Other
|
2,049
|
|
|
2,445
|
|
|||
Total long-term debt
|
$
|
216,823
|
|
|
$
|
236,764
|
|
|
|
Bank of America 2016
53
|
54
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 18
|
Senior Debt Ratings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
||||||||||||||||
|
|
Moody
’
s Investors Service
|
|
Standard & Poor
’
s Global Ratings
|
|
Fitch Ratings
|
||||||||||||
|
Long-term
|
|
Short-term
|
|
Outlook
|
|
Long-term
|
|
Short-term
|
|
Outlook
|
|
Long-term
|
|
Short-term
|
|
Outlook
|
|
Bank of America Corporation
|
Baa1
|
|
P-2
|
|
Positive
|
|
BBB+
|
|
A-2
|
|
Stable
|
|
A
|
|
F1
|
|
Stable
|
|
Bank of America, N.A.
|
A1
|
|
P-1
|
|
Positive
|
|
A+
|
|
A-1
|
|
Stable
|
|
A+
|
|
F1
|
|
Stable
|
|
Merrill Lynch, Pierce, Fenner & Smith
|
NR
|
|
NR
|
|
NR
|
|
A+
|
|
A-1
|
|
Stable
|
|
A+
|
|
F1
|
|
Stable
|
|
Merrill Lynch International
|
NR
|
|
NR
|
|
NR
|
|
A+
|
|
A-1
|
|
Stable
|
|
A
|
|
F1
|
|
Stable
|
|
|
Bank of America 2016
55
|
|
|
|
|
|
|
|
|
|
||||||||
Table 19
|
Consumer Loans and Leases
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31
|
||||||||||||||
|
|
Outstandings
|
|
Purchased Credit-impaired Loan Portfolio
|
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
Residential mortgage
(1)
|
$
|
191,797
|
|
|
$
|
187,911
|
|
|
$
|
10,127
|
|
|
$
|
12,066
|
|
|
Home equity
|
66,443
|
|
|
75,948
|
|
|
3,611
|
|
|
4,619
|
|
|||||
U.S. credit card
|
92,278
|
|
|
89,602
|
|
|
n/a
|
|
|
n/a
|
|
|||||
Non-U.S. credit card
|
9,214
|
|
|
9,975
|
|
|
n/a
|
|
|
n/a
|
|
|||||
Direct/Indirect consumer
(2)
|
94,089
|
|
|
88,795
|
|
|
n/a
|
|
|
n/a
|
|
|||||
Other consumer
(3)
|
2,499
|
|
|
2,067
|
|
|
n/a
|
|
|
n/a
|
|
|||||
Consumer loans excluding loans accounted for under the fair value option
|
456,320
|
|
|
454,298
|
|
|
13,738
|
|
|
16,685
|
|
|||||
Loans accounted for under the fair value option
(4)
|
1,051
|
|
|
1,871
|
|
|
n/a
|
|
|
n/a
|
|
|||||
Total consumer loans and leases
(5)
|
$
|
457,371
|
|
|
$
|
456,169
|
|
|
$
|
13,738
|
|
|
$
|
16,685
|
|
(1)
|
Outstandings include pay option loans of
$1.8 billion
and
$2.3 billion
at
December 31, 2016 and 2015
. We no longer originate pay option loans.
|
(2)
|
Outstandings include auto and specialty lending loans of
$48.9 billion
and
$42.6 billion
, unsecured consumer lending loans of
$585 million
and
$886 million
, U.S. securities-based lending loans of
$40.1 billion
and
$39.8 billion
, non-U.S. consumer loans of
$3.0 billion
and
$3.9 billion
, student loans of
$497 million
and
$564 million
and other consumer loans of
$1.1 billion
and
$1.0 billion
at
December 31, 2016 and 2015
.
|
(3)
|
Outstandings include consumer finance loans of
$465 million
and
$564 million
, consumer leases of
$1.9 billion
and
$1.4 billion
and consumer overdrafts of
$157 million
and
$146 million
at
December 31, 2016 and 2015
.
|
(4)
|
Consumer loans accounted for under the fair value option include residential mortgage loans of
$710 million
and
$1.6 billion
and home equity loans of
$341 million
and
$250 million
at
December 31, 2016 and 2015
. For more information on the fair value option, see
Note 21 – Fair Value Option
to the Consolidated Financial Statements
.
|
(5)
|
Includes $9.2 billion of non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet at
December 31, 2016
.
|
56
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Table 20
|
Consumer Credit Quality
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
December 31
|
|||||||||||||||
|
Nonperforming
|
|
Accruing Past Due
90 Days or More |
|||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
Residential mortgage
(1)
|
$
|
3,056
|
|
|
$
|
4,803
|
|
|
$
|
4,793
|
|
|
$
|
7,150
|
|
|
Home equity
|
2,918
|
|
|
3,337
|
|
|
—
|
|
|
—
|
|
|||||
U.S. credit card
|
n/a
|
|
|
n/a
|
|
|
782
|
|
|
789
|
|
|||||
Non-U.S. credit card
|
n/a
|
|
|
n/a
|
|
|
66
|
|
|
76
|
|
|||||
Direct/Indirect consumer
|
28
|
|
|
24
|
|
|
34
|
|
|
39
|
|
|||||
Other consumer
|
2
|
|
|
1
|
|
|
4
|
|
|
3
|
|
|||||
Total
(2)
|
$
|
6,004
|
|
|
$
|
8,165
|
|
|
$
|
5,679
|
|
|
$
|
8,057
|
|
|
Consumer loans and leases as a percentage of outstanding consumer loans and leases
(2)
|
1.32
|
%
|
|
1.80
|
%
|
|
1.24
|
%
|
|
1.77
|
%
|
|||||
Consumer loans and leases as a percentage of outstanding loans and leases, excluding PCI and fully-insured loan portfolios
(2)
|
1.45
|
|
|
2.04
|
|
|
0.21
|
|
|
0.23
|
|
(1)
|
Residential mortgage loans accruing past due 90 days or more are fully-insured loans. At
December 31, 2016 and 2015
, residential mortgage included
$3.0 billion
and
$4.3 billion
of loans on which interest has been curtailed by the FHA, and therefore are no longer accruing interest, although principal is still insured, and
$1.8 billion
and
$2.9 billion
of loans on which interest was still accruing.
|
(2)
|
Balances exclude consumer loans accounted for under the fair value option. At
December 31, 2016 and 2015
,
$48 million
and
$293 million
of loans accounted for under the fair value option were past due 90 days or more and not accruing interest.
|
|
|
|
|
|
|
|
|
|
||||||
Table 21
|
Consumer Net Charge-offs and Related Ratios
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
||||||
|
|
Net Charge-offs
(1)
|
|
Net Charge-off Ratios
(1, 2)
|
||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||
Residential mortgage
|
$
|
131
|
|
|
$
|
473
|
|
|
0.07
|
%
|
|
0.24
|
%
|
|
Home equity
|
405
|
|
|
636
|
|
|
0.57
|
|
|
0.79
|
|
|||
U.S. credit card
|
2,269
|
|
|
2,314
|
|
|
2.58
|
|
|
2.62
|
|
|||
Non-U.S. credit card
|
175
|
|
|
188
|
|
|
1.83
|
|
|
1.86
|
|
|||
Direct/Indirect consumer
|
134
|
|
|
112
|
|
|
0.15
|
|
|
0.13
|
|
|||
Other consumer
|
205
|
|
|
193
|
|
|
8.95
|
|
|
9.96
|
|
|||
Total
|
$
|
3,319
|
|
|
$
|
3,916
|
|
|
0.74
|
|
|
0.84
|
|
(1)
|
Net charge-offs exclude write-offs in the PCI loan portfolio. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(2)
|
Net charge-off ratios are calculated as net charge-offs divided by average outstanding loans and leases excluding loans accounted for under the fair value option.
|
|
|
Bank of America 2016
57
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 22
|
Consumer Real Estate Portfolio
(1)
|
|
|
|
|
|||||||||||||||||||
|
|
|
|
|
|
|
||||||||||||||||||
|
|
December 31
|
|
|
|
|
||||||||||||||||||
|
|
Outstandings
|
|
Nonperforming
|
|
Net Charge-offs
(2)
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
Core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Residential mortgage
|
$
|
156,497
|
|
|
$
|
141,795
|
|
|
$
|
1,274
|
|
|
$
|
1,825
|
|
|
$
|
(29
|
)
|
|
$
|
101
|
|
|
Home equity
|
49,373
|
|
|
54,917
|
|
|
969
|
|
|
974
|
|
|
113
|
|
|
163
|
|
|||||||
Total core portfolio
|
205,870
|
|
|
196,712
|
|
|
2,243
|
|
|
2,799
|
|
|
84
|
|
|
264
|
|
|||||||
Non-core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
35,300
|
|
|
46,116
|
|
|
1,782
|
|
|
2,978
|
|
|
160
|
|
|
372
|
|
|||||||
Home equity
|
17,070
|
|
|
21,031
|
|
|
1,949
|
|
|
2,363
|
|
|
292
|
|
|
473
|
|
|||||||
Total non-core portfolio
|
52,370
|
|
|
67,147
|
|
|
3,731
|
|
|
5,341
|
|
|
452
|
|
|
845
|
|
|||||||
Consumer real estate portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Residential mortgage
|
191,797
|
|
|
187,911
|
|
|
3,056
|
|
|
4,803
|
|
|
131
|
|
|
473
|
|
|||||||
Home equity
|
66,443
|
|
|
75,948
|
|
|
2,918
|
|
|
3,337
|
|
|
405
|
|
|
636
|
|
|||||||
Total consumer real estate portfolio
|
$
|
258,240
|
|
|
$
|
263,859
|
|
|
$
|
5,974
|
|
|
$
|
8,140
|
|
|
$
|
536
|
|
|
$
|
1,109
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
December 31
|
|
|
|
|
||||||||||||||
|
|
|
|
|
|
Allowance for Loan
and Lease Losses
|
|
Provision for Loan
and Lease Losses
|
||||||||||||||||
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||
Core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Residential mortgage
|
|
|
|
|
$
|
252
|
|
|
$
|
319
|
|
|
$
|
(98
|
)
|
|
$
|
(17
|
)
|
|||||
Home equity
|
|
|
|
|
560
|
|
|
664
|
|
|
10
|
|
|
(33
|
)
|
|||||||||
Total core portfolio
|
|
|
|
|
812
|
|
|
983
|
|
|
(88
|
)
|
|
(50
|
)
|
|||||||||
Non-core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
|
|
|
|
760
|
|
|
1,181
|
|
|
(86
|
)
|
|
(277
|
)
|
|||||||||
Home equity
|
|
|
|
|
1,178
|
|
|
1,750
|
|
|
(84
|
)
|
|
257
|
|
|||||||||
Total non-core portfolio
|
|
|
|
|
1,938
|
|
|
2,931
|
|
|
(170
|
)
|
|
(20
|
)
|
|||||||||
Consumer real estate portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
|
|
|
|
1,012
|
|
|
1,500
|
|
|
(184
|
)
|
|
(294
|
)
|
|||||||||
Home equity
|
|
|
|
|
1,738
|
|
|
2,414
|
|
|
(74
|
)
|
|
224
|
|
|||||||||
Total consumer real estate portfolio
|
|
|
|
|
$
|
2,750
|
|
|
$
|
3,914
|
|
|
$
|
(258
|
)
|
|
$
|
(70
|
)
|
(1)
|
Outstandings and nonperforming loans exclude loans accounted for under the fair value option. Consumer loans accounted for under the fair value option include residential mortgage loans of
$710 million
and
$1.6 billion
and home equity loans of
$341 million
and
$250 million
at
December 31, 2016 and 2015
. For more information on the fair value option, see
Note 21 – Fair Value Option
to the Consolidated Financial Statements
.
|
(2)
|
Net charge-offs exclude write-offs in the PCI loan portfolio. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
58
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Table 23
|
Residential Mortgage – Key Credit Statistics
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31
|
||||||||||||||
|
|
Reported Basis
(1)
|
|
Excluding Purchased
Credit-impaired and Fully-insured Loans |
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
Outstandings
|
$
|
191,797
|
|
|
$
|
187,911
|
|
|
$
|
152,941
|
|
|
$
|
138,768
|
|
|
Accruing past due 30 days or more
|
8,232
|
|
|
11,423
|
|
|
1,835
|
|
|
1,568
|
|
|||||
Accruing past due 90 days or more
|
4,793
|
|
|
7,150
|
|
|
—
|
|
|
—
|
|
|||||
Nonperforming loans
|
3,056
|
|
|
4,803
|
|
|
3,056
|
|
|
4,803
|
|
|||||
Percent of portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Refreshed LTV greater than 90 but less than or equal to 100
|
5
|
%
|
|
7
|
%
|
|
3
|
%
|
|
5
|
%
|
|||||
Refreshed LTV greater than 100
|
4
|
|
|
8
|
|
|
3
|
|
|
4
|
|
|||||
Refreshed FICO below 620
|
9
|
|
|
13
|
|
|
4
|
|
|
6
|
|
|||||
2006 and 2007 vintages
(2)
|
13
|
|
|
17
|
|
|
12
|
|
|
17
|
|
|||||
Net charge-off ratio
(3)
|
0.07
|
|
|
0.24
|
|
|
0.09
|
|
|
0.35
|
|
(1)
|
Outstandings, accruing past due, nonperforming loans and percentages of portfolio exclude loans accounted for under the fair value option.
|
(2)
|
These vintages of loans account for $931 million, or
31 percent
, and $1.6 billion, or
34 percent
, of nonperforming residential mortgage loans at
December 31, 2016 and 2015
. Additionally, these vintages accounted for net recoveries of $2 million in
2016
and net charge-offs of $136 million in
2015
.
|
(3)
|
Net charge-off ratios are calculated as net charge-offs divided by average outstanding loans excluding loans accounted for under the fair value option.
|
|
|
Bank of America 2016
59
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 24
|
Residential Mortgage State Concentrations
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31
|
|
|
||||||||||||||||||||
|
|
Outstandings
(1)
|
|
Nonperforming
(1)
|
|
Net Charge-offs
(2)
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
California
|
$
|
58,295
|
|
|
$
|
48,865
|
|
|
$
|
554
|
|
|
$
|
977
|
|
|
$
|
(70
|
)
|
|
$
|
(49
|
)
|
|
New York
(3)
|
14,476
|
|
|
12,696
|
|
|
290
|
|
|
399
|
|
|
18
|
|
|
57
|
|
|||||||
Florida
(3)
|
10,213
|
|
|
10,001
|
|
|
322
|
|
|
534
|
|
|
20
|
|
|
53
|
|
|||||||
Texas
|
6,607
|
|
|
6,208
|
|
|
132
|
|
|
185
|
|
|
9
|
|
|
10
|
|
|||||||
Massachusetts
|
5,344
|
|
|
4,799
|
|
|
77
|
|
|
118
|
|
|
3
|
|
|
8
|
|
|||||||
Other U.S./Non-U.S.
|
58,006
|
|
|
56,199
|
|
|
1,681
|
|
|
2,590
|
|
|
151
|
|
|
394
|
|
|||||||
Residential mortgage loans
(4)
|
$
|
152,941
|
|
|
$
|
138,768
|
|
|
$
|
3,056
|
|
|
$
|
4,803
|
|
|
$
|
131
|
|
|
$
|
473
|
|
|
Fully-insured loan portfolio
|
28,729
|
|
|
37,077
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Purchased credit-impaired residential mortgage loan portfolio
(5)
|
10,127
|
|
|
12,066
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Total residential mortgage loan portfolio
|
$
|
191,797
|
|
|
$
|
187,911
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Outstandings and nonperforming loans exclude loans accounted for under the fair value option.
|
(2)
|
Net charge-offs exclude
$144 million
of write-offs in the residential mortgage PCI loan portfolio in
2016
compared to
$634 million
in
2015
. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(3)
|
In these states, foreclosure requires a court order following a legal proceeding (judicial states).
|
(4)
|
Amounts exclude the PCI residential mortgage and fully-insured loan portfolios.
|
(5)
|
At
December 31, 2016
and
2015
, 48 percent and 47 percent of PCI residential mortgage loans were in California. There were no other significant single state concentrations.
|
60
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Table 25
|
Home Equity – Key Credit Statistics
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31
|
||||||||||||||
|
|
Reported Basis
(1)
|
|
Excluding Purchased
Credit-impaired Loans |
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
Outstandings
|
$
|
66,443
|
|
|
$
|
75,948
|
|
|
$
|
62,832
|
|
|
$
|
71,329
|
|
|
Accruing past due 30 days or more
(2)
|
566
|
|
|
613
|
|
|
566
|
|
|
613
|
|
|||||
Nonperforming loans
(2)
|
2,918
|
|
|
3,337
|
|
|
2,918
|
|
|
3,337
|
|
|||||
Percent of portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Refreshed CLTV greater than 90 but less than or equal to 100
|
5
|
%
|
|
6
|
%
|
|
4
|
%
|
|
6
|
%
|
|||||
Refreshed CLTV greater than 100
|
8
|
|
|
12
|
|
|
7
|
|
|
11
|
|
|||||
Refreshed FICO below 620
|
7
|
|
|
7
|
|
|
6
|
|
|
7
|
|
|||||
2006 and 2007 vintages
(3)
|
37
|
|
|
43
|
|
|
34
|
|
|
41
|
|
|||||
Net charge-off ratio
(4)
|
0.57
|
|
|
0.79
|
|
|
0.60
|
|
|
0.84
|
|
(1)
|
Outstandings, accruing past due, nonperforming loans and percentages of the portfolio exclude loans accounted for under the fair value option.
|
(2)
|
Accruing past due 30 days or more includes
$81 million
and
$89 million
and nonperforming loans include
$340 million
and
$396 million
of loans where we serviced the underlying first-lien at
December 31, 2016 and 2015
.
|
(3)
|
These vintages of loans have higher refreshed combined LTV ratios and accounted for
50 percent
and
45 percent
of nonperforming home equity loans at
December 31, 2016 and 2015
, and
54 percent
of net charge-offs in both
2016
and
2015
.
|
(4)
|
Net charge-off ratios are calculated as net charge-offs divided by average outstanding loans excluding loans accounted for under the fair value option.
|
|
|
Bank of America 2016
61
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 26
|
Home Equity State Concentrations
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31
|
|
|
||||||||||||||||||||
|
|
Outstandings
(1)
|
|
Nonperforming
(1)
|
|
Net Charge-offs
(2)
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
California
|
$
|
17,563
|
|
|
$
|
20,356
|
|
|
$
|
829
|
|
|
$
|
902
|
|
|
$
|
7
|
|
|
$
|
57
|
|
|
Florida
(3)
|
7,319
|
|
|
8,474
|
|
|
442
|
|
|
518
|
|
|
76
|
|
|
128
|
|
|||||||
New Jersey
(3)
|
5,102
|
|
|
5,570
|
|
|
201
|
|
|
230
|
|
|
50
|
|
|
51
|
|
|||||||
New York
(3)
|
4,720
|
|
|
5,249
|
|
|
271
|
|
|
316
|
|
|
45
|
|
|
61
|
|
|||||||
Massachusetts
|
3,078
|
|
|
3,378
|
|
|
100
|
|
|
115
|
|
|
12
|
|
|
17
|
|
|||||||
Other U.S./Non-U.S.
|
25,050
|
|
|
28,302
|
|
|
1,075
|
|
|
1,256
|
|
|
215
|
|
|
322
|
|
|||||||
Home equity loans
(4)
|
$
|
62,832
|
|
|
$
|
71,329
|
|
|
$
|
2,918
|
|
|
$
|
3,337
|
|
|
$
|
405
|
|
|
$
|
636
|
|
|
Purchased credit-impaired home equity portfolio
(5)
|
3,611
|
|
|
4,619
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Total home equity loan portfolio
|
$
|
66,443
|
|
|
$
|
75,948
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Outstandings and nonperforming loans exclude loans accounted for under the fair value option.
|
(2)
|
Net charge-offs exclude
$196 million
of write-offs in the home equity PCI loan portfolio in
2016
compared to
$174 million
in
2015
. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(3)
|
In these states, foreclosure requires a court order following a legal proceeding (judicial states).
|
(4)
|
Amount excludes the PCI home equity portfolio.
|
(5)
|
At both
December 31, 2016
and
2015
, 29 percent of PCI home equity loans were in California. There were no other significant single state concentrations.
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Table 27
|
Purchased Credit-impaired Loan Portfolio
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
December 31, 2016
|
|||||||||||||||||
(Dollars in millions)
|
Unpaid
Principal Balance |
|
Gross Carrying
Value |
|
Related
Valuation Allowance |
|
Carrying
Value Net of Valuation Allowance |
|
Percent of Unpaid
Principal Balance |
||||||||||
Residential mortgage
(1)
|
$
|
10,330
|
|
|
$
|
10,127
|
|
|
$
|
169
|
|
|
$
|
9,958
|
|
|
96.40
|
%
|
|
Home equity
|
3,689
|
|
|
3,611
|
|
|
250
|
|
|
3,361
|
|
|
91.11
|
|
|||||
Total purchased credit-impaired loan portfolio
|
$
|
14,019
|
|
|
$
|
13,738
|
|
|
$
|
419
|
|
|
$
|
13,319
|
|
|
95.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
December 31, 2015
|
|||||||||||||||||
Residential mortgage
|
$
|
12,350
|
|
|
$
|
12,066
|
|
|
$
|
338
|
|
|
$
|
11,728
|
|
|
94.96
|
%
|
|
Home equity
|
4,650
|
|
|
4,619
|
|
|
466
|
|
|
4,153
|
|
|
89.31
|
|
|||||
Total purchased credit-impaired loan portfolio
|
$
|
17,000
|
|
|
$
|
16,685
|
|
|
$
|
804
|
|
|
$
|
15,881
|
|
|
93.42
|
|
(1)
|
Includes pay option loans with an unpaid principal balance of $1.9 billion and a carrying value of $1.8 billion at December 31, 2016. This includes $1.6 billion of loans that were credit-impaired upon acquisition and $226 million of loans that are 90 days or more past due. The total unpaid principal balance of pay option loans with accumulated negative amortization was $303 million, including $16 million of negative amortization.
|
62
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 28
|
U.S. Credit Card State Concentrations
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31
|
|
|
||||||||||||||||||||
|
|
Outstandings
|
|
Accruing Past Due
90 Days or More |
|
Net Charge-offs
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
California
|
$
|
14,251
|
|
|
$
|
13,658
|
|
|
$
|
115
|
|
|
$
|
115
|
|
|
$
|
360
|
|
|
$
|
358
|
|
|
Florida
|
7,864
|
|
|
7,420
|
|
|
85
|
|
|
81
|
|
|
245
|
|
|
244
|
|
|||||||
Texas
|
7,037
|
|
|
6,620
|
|
|
65
|
|
|
58
|
|
|
164
|
|
|
157
|
|
|||||||
New York
|
5,683
|
|
|
5,547
|
|
|
60
|
|
|
57
|
|
|
161
|
|
|
162
|
|
|||||||
Washington
|
4,128
|
|
|
3,907
|
|
|
18
|
|
|
19
|
|
|
56
|
|
|
59
|
|
|||||||
Other U.S.
|
53,315
|
|
|
52,450
|
|
|
439
|
|
|
459
|
|
|
1,283
|
|
|
1,334
|
|
|||||||
Total U.S. credit card portfolio
|
$
|
92,278
|
|
|
$
|
89,602
|
|
|
$
|
782
|
|
|
$
|
789
|
|
|
$
|
2,269
|
|
|
$
|
2,314
|
|
|
|
Bank of America 2016
63
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 29
|
Direct/Indirect State Concentrations
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31
|
|
|
||||||||||||||||||||
|
|
Outstandings
|
|
Accruing Past Due
90 Days or More |
|
Net Charge-offs
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
California
|
$
|
11,300
|
|
|
$
|
10,735
|
|
|
$
|
3
|
|
|
$
|
3
|
|
|
$
|
13
|
|
|
$
|
8
|
|
|
Florida
|
9,418
|
|
|
8,835
|
|
|
3
|
|
|
3
|
|
|
29
|
|
|
20
|
|
|||||||
Texas
|
9,406
|
|
|
8,514
|
|
|
5
|
|
|
4
|
|
|
21
|
|
|
17
|
|
|||||||
New York
|
5,253
|
|
|
5,077
|
|
|
1
|
|
|
1
|
|
|
3
|
|
|
3
|
|
|||||||
Georgia
|
3,255
|
|
|
2,869
|
|
|
4
|
|
|
4
|
|
|
9
|
|
|
7
|
|
|||||||
Other U.S./Non-U.S.
|
55,457
|
|
|
52,765
|
|
|
18
|
|
|
24
|
|
|
59
|
|
|
57
|
|
|||||||
Total direct/indirect loan portfolio
|
$
|
94,089
|
|
|
$
|
88,795
|
|
|
$
|
34
|
|
|
$
|
39
|
|
|
$
|
134
|
|
|
$
|
112
|
|
64
Bank of America 2016
|
|
|
|
|
|
|
|
||||
Table 30
|
Nonperforming Consumer Loans, Leases and Foreclosed Properties Activity
(1)
|
|||||||
|
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
Nonperforming loans and leases, January 1
|
$
|
8,165
|
|
|
$
|
10,819
|
|
|
Additions to nonperforming loans and leases:
|
|
|
|
|||||
New nonperforming loans and leases
|
3,492
|
|
|
4,949
|
|
|||
Reductions to nonperforming loans and leases:
|
|
|
|
|||||
Paydowns and payoffs
|
(795
|
)
|
|
(1,018
|
)
|
|||
Sales
|
(1,604
|
)
|
|
(1,674
|
)
|
|||
Returns to performing status
(2)
|
(1,628
|
)
|
|
(2,710
|
)
|
|||
Charge-offs
|
(1,277
|
)
|
|
(1,769
|
)
|
|||
Transfers to foreclosed properties
(3)
|
(294
|
)
|
|
(432
|
)
|
|||
Transfers to loans held-for-sale
|
(55
|
)
|
|
—
|
|
|||
Total net reductions to nonperforming loans and leases
|
(2,161
|
)
|
|
(2,654
|
)
|
|||
Total nonperforming loans and leases, December 31
(4)
|
6,004
|
|
|
8,165
|
|
|||
Foreclosed properties, January 1
|
444
|
|
|
630
|
|
|||
Additions to foreclosed properties:
|
|
|
|
|||||
New foreclosed properties
(3)
|
431
|
|
|
606
|
|
|||
Reductions to foreclosed properties:
|
|
|
|
|||||
Sales
|
(443
|
)
|
|
(686
|
)
|
|||
Write-downs
|
(69
|
)
|
|
(106
|
)
|
|||
Total net reductions to foreclosed properties
|
(81
|
)
|
|
(186
|
)
|
|||
Total foreclosed properties, December 31
(5)
|
363
|
|
|
444
|
|
|||
Nonperforming consumer loans, leases and foreclosed properties, December 31
|
$
|
6,367
|
|
|
$
|
8,609
|
|
|
Nonperforming consumer loans and leases as a percentage of outstanding consumer loans and leases
(6)
|
1.32
|
%
|
|
1.80
|
%
|
|||
Nonperforming consumer loans, leases and foreclosed properties as a percentage of outstanding consumer loans, leases and foreclosed properties
(6)
|
1.39
|
|
|
1.89
|
|
(1)
|
Balances do not include nonperforming LHFS of
$69 million
and
$5 million
and nonaccruing TDRs removed from the PCI loan portfolio prior to January 1, 2010 of
$27 million
and
$38 million
at
December 31, 2016 and 2015
as well as loans accruing past due 90 days or more as presented in
Table 20
and
Note 4 – Outstanding Loans and Leases
to the Consolidated Financial Statements
.
|
(2)
|
Consumer loans may be returned to performing status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected, or when the loan otherwise becomes well-secured and is in the process of collection.
|
(3)
|
New foreclosed properties represents transfers of nonperforming loans to foreclosed properties net of charge-offs taken during the first 90 days after transfer of a loan to foreclosed properties. New foreclosed properties also includes properties obtained upon foreclosure of delinquent PCI loans, properties repurchased due to representations and warranties exposure and properties acquired with newly consolidated subsidiaries.
|
(4)
|
At
December 31, 2016
,
36 percent
of nonperforming loans were 180 days or more past due.
|
(5)
|
Foreclosed property balances do not include properties insured by certain government-guaranteed loans, principally FHA-insured loans, of
$1.2 billion
and
$1.4 billion
at
December 31, 2016 and 2015
.
|
(6)
|
Outstanding consumer loans and leases exclude loans accounted for under the fair value option.
|
|
|
Bank of America 2016
65
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 31
|
Consumer Real Estate Troubled Debt Restructurings
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31
|
||||||||||||||||||||||
|
|
2016
|
|
2015
|
||||||||||||||||||||
(Dollars in millions)
|
Total
|
|
Nonperforming
|
|
Performing
|
|
Total
|
|
Nonperforming
|
|
Performing
|
|||||||||||||
Residential mortgage
(1, 2)
|
$
|
12,631
|
|
|
$
|
1,992
|
|
|
$
|
10,639
|
|
|
$
|
18,372
|
|
|
$
|
3,284
|
|
|
$
|
15,088
|
|
|
Home equity
(3)
|
2,777
|
|
|
1,566
|
|
|
1,211
|
|
|
2,686
|
|
|
1,649
|
|
|
1,037
|
|
|||||||
Total consumer real estate troubled debt restructurings
|
$
|
15,408
|
|
|
$
|
3,558
|
|
|
$
|
11,850
|
|
|
$
|
21,058
|
|
|
$
|
4,933
|
|
|
$
|
16,125
|
|
(1)
|
Residential mortgage TDRs deemed collateral dependent totaled
$3.5 billion
and
$4.9 billion
, and included
$1.6 billion
and
$2.7 billion
of loans classified as nonperforming and
$1.9 billion
and
$2.2 billion
of loans classified as performing at
December 31, 2016 and 2015
.
|
(2)
|
Residential mortgage performing TDRs included
$5.3 billion
and
$8.7 billion
of loans that were fully-insured at
December 31, 2016 and 2015
.
|
(3)
|
Home equity TDRs deemed collateral dependent totaled
$1.6 billion
and
$1.6 billion
, and included
$1.3 billion
and
$1.3 billion
of loans classified as nonperforming and
$301 million
and
$290 million
of loans classified as performing at
December 31, 2016 and 2015
.
|
66
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 32
|
Commercial Loans and Leases
|
|||||||||||||||||||||||
|
|
|
||||||||||||||||||||||
|
|
December 31
|
||||||||||||||||||||||
|
|
Outstandings
|
|
Nonperforming
|
|
Accruing Past Due
90 Days or More
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
U.S. commercial
|
$
|
270,372
|
|
|
$
|
252,771
|
|
|
$
|
1,256
|
|
|
$
|
867
|
|
|
$
|
106
|
|
|
$
|
113
|
|
|
Commercial real estate
(1)
|
57,355
|
|
|
57,199
|
|
|
72
|
|
|
93
|
|
|
7
|
|
|
3
|
|
|||||||
Commercial lease financing
|
22,375
|
|
|
21,352
|
|
|
36
|
|
|
12
|
|
|
19
|
|
|
15
|
|
|||||||
Non-U.S. commercial
|
89,397
|
|
|
91,549
|
|
|
279
|
|
|
158
|
|
|
5
|
|
|
1
|
|
|||||||
|
|
439,499
|
|
|
422,871
|
|
|
1,643
|
|
|
1,130
|
|
|
137
|
|
|
132
|
|
||||||
U.S. small business commercial
(2)
|
12,993
|
|
|
12,876
|
|
|
60
|
|
|
82
|
|
|
71
|
|
|
61
|
|
|||||||
Commercial loans excluding loans accounted for under the fair value option
|
452,492
|
|
|
435,747
|
|
|
1,703
|
|
|
1,212
|
|
|
208
|
|
|
193
|
|
|||||||
Loans accounted for under the fair value option
(3)
|
6,034
|
|
|
5,067
|
|
|
84
|
|
|
13
|
|
|
—
|
|
|
—
|
|
|||||||
Total commercial loans and leases
|
$
|
458,526
|
|
|
$
|
440,814
|
|
|
$
|
1,787
|
|
|
$
|
1,225
|
|
|
$
|
208
|
|
|
$
|
193
|
|
(1)
|
Includes U.S. commercial real estate loans of
$54.3 billion
and
$53.6 billion
and non-U.S. commercial real estate loans of
$3.1 billion
and
$3.5 billion
at
December 31, 2016 and 2015
.
|
(2)
|
Includes card-related products.
|
(3)
|
Commercial loans accounted for under the fair value option include U.S. commercial loans of
$2.9 billion
and
$2.3 billion
and non-U.S. commercial loans of
$3.1 billion
and
$2.8 billion
at
December 31, 2016 and 2015
. For more information on the fair value option, see
Note 21 – Fair Value Option
to the Consolidated Financial Statements
.
|
|
|
|
|
|
|
|
|
|
||||||
Table 33
|
Commercial Net Charge-offs and Related Ratios
|
|||||||||||||
|
|
|
|
|
|
|
|
|
||||||
|
|
Net Charge-offs
|
|
Net Charge-off Ratios
(1)
|
||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||
U.S. commercial
|
$
|
184
|
|
|
$
|
139
|
|
|
0.07
|
%
|
|
0.06
|
%
|
|
Commercial real estate
|
(31
|
)
|
|
(5
|
)
|
|
(0.05
|
)
|
|
(0.01
|
)
|
|||
Commercial lease financing
|
21
|
|
|
9
|
|
|
0.10
|
|
|
0.04
|
|
|||
Non-U.S. commercial
|
120
|
|
|
54
|
|
|
0.13
|
|
|
0.06
|
|
|||
|
|
294
|
|
|
197
|
|
|
0.07
|
|
|
0.05
|
|
||
U.S. small business commercial
|
208
|
|
|
225
|
|
|
1.60
|
|
|
1.71
|
|
|||
Total commercial
|
$
|
502
|
|
|
$
|
422
|
|
|
0.11
|
|
|
0.10
|
|
(1)
|
Net charge-off ratios are calculated as net charge-offs divided by average outstanding loans and leases excluding loans accounted for under the fair value option.
|
|
|
Bank of America 2016
67
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 34
|
Commercial Credit Exposure by Type
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31
|
||||||||||||||||||||||
|
|
Commercial
Utilized
(1)
|
|
Commercial
Unfunded
(2, 3, 4)
|
|
Total Commercial Committed
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||
Loans and leases
(5)
|
$
|
464,260
|
|
|
$
|
446,832
|
|
|
$
|
366,106
|
|
|
$
|
376,478
|
|
|
$
|
830,366
|
|
|
$
|
823,310
|
|
|
Derivative assets
(6)
|
42,512
|
|
|
49,990
|
|
|
—
|
|
|
—
|
|
|
42,512
|
|
|
49,990
|
|
|||||||
Standby letters of credit and financial guarantees
|
33,135
|
|
|
33,236
|
|
|
660
|
|
|
690
|
|
|
33,795
|
|
|
33,926
|
|
|||||||
Debt securities and other investments
|
26,244
|
|
|
21,709
|
|
|
5,474
|
|
|
4,173
|
|
|
31,718
|
|
|
25,882
|
|
|||||||
Loans held-for-sale
|
6,510
|
|
|
5,456
|
|
|
3,824
|
|
|
1,203
|
|
|
10,334
|
|
|
6,659
|
|
|||||||
Commercial letters of credit
|
1,464
|
|
|
1,725
|
|
|
112
|
|
|
390
|
|
|
1,576
|
|
|
2,115
|
|
|||||||
Bankers’ acceptances
|
395
|
|
|
298
|
|
|
13
|
|
|
—
|
|
|
408
|
|
|
298
|
|
|||||||
Other
|
372
|
|
|
317
|
|
|
—
|
|
|
—
|
|
|
372
|
|
|
317
|
|
|||||||
Total
|
|
$
|
574,892
|
|
|
$
|
559,563
|
|
|
$
|
376,189
|
|
|
$
|
382,934
|
|
|
$
|
951,081
|
|
|
$
|
942,497
|
|
(1)
|
Total commercial utilized exposure includes loans of
$6.0 billion
and
$5.1 billion
and issued letters of credit with a notional amount of
$284 million
and
$290 million
accounted for under the fair value option at
December 31, 2016 and 2015
.
|
(2)
|
Total commercial unfunded exposure includes loan commitments accounted for under the fair value option with a notional amount of
$6.7 billion
and
$10.6 billion
at
December 31, 2016 and 2015
.
|
(3)
|
Excludes unused business card lines which are not legally binding.
|
(4)
|
Includes the notional amount of unfunded legally binding lending commitments net of amounts distributed (e.g. syndicated or participated) to other financial institutions. The distributed amounts were
$12.1 billion
and
$14.3 billion
at
December 31, 2016 and 2015
.
|
(5)
|
Includes credit risk exposure associated with assets under operating lease arrangements of $5.7 billion and $6.0 billion at
December 31, 2016 and 2015
.
|
(6)
|
Derivative assets are carried at fair value, reflect the effects of legally enforceable master netting agreements and have been reduced by cash collateral of
$43.3 billion
and
$41.9 billion
at
December 31, 2016 and 2015
. Not reflected in utilized and committed exposure is additional non-cash derivative collateral held of
$22.9 billion
and
$23.3 billion
at
December 31, 2016 and 2015
, which consists primarily of other marketable securities.
|
|
|
|
|
|
|
|
|
|
||||||
Table 35
|
Commercial Utilized Reservable Criticized Exposure
|
|||||||||||||
|
|
|
|
|
|
|
|
|
||||||
|
|
December 31
|
||||||||||||
|
|
2016
|
|
2015
|
||||||||||
(Dollars in millions)
|
Amount
(1)
|
|
Percent
(2)
|
|
Amount
(1)
|
|
Percent
(2)
|
|||||||
U.S. commercial
|
$
|
10,311
|
|
|
3.46
|
%
|
|
$
|
9,965
|
|
|
3.56
|
%
|
|
Commercial real estate
|
399
|
|
|
0.68
|
|
|
513
|
|
|
0.87
|
|
|||
Commercial lease financing
|
810
|
|
|
3.62
|
|
|
708
|
|
|
3.31
|
|
|||
Non-U.S. commercial
|
3,974
|
|
|
4.17
|
|
|
3,944
|
|
|
4.04
|
|
|||
|
|
15,494
|
|
|
3.27
|
|
|
15,130
|
|
|
3.30
|
|
||
U.S. small business commercial
|
826
|
|
|
6.36
|
|
|
766
|
|
|
5.95
|
|
|||
Total commercial utilized reservable criticized exposure
|
$
|
16,320
|
|
|
3.35
|
|
|
$
|
15,896
|
|
|
3.38
|
|
(1)
|
Total commercial utilized reservable criticized exposure includes loans and leases of
$14.9 billion
and
$14.5 billion
and commercial letters of credit of
$1.4 billion
at
December 31, 2016 and 2015
.
|
(2)
|
Percentages are calculated as commercial utilized reservable criticized exposure divided by total commercial utilized reservable exposure for each exposure category.
|
68
Bank of America 2016
|
|
|
|
|
|
|
|
||||
Table 36
|
Outstanding Commercial Real Estate Loans
|
|||||||
|
|
|
|
|
||||
|
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
By Geographic Region
|
|
|
|
|
|
|||
California
|
$
|
13,450
|
|
|
$
|
12,063
|
|
|
Northeast
|
10,329
|
|
|
10,292
|
|
|||
Southwest
|
7,567
|
|
|
7,789
|
|
|||
Southeast
|
5,630
|
|
|
6,066
|
|
|||
Midwest
|
4,380
|
|
|
3,780
|
|
|||
Florida
|
3,213
|
|
|
3,330
|
|
|||
Northwest
|
2,430
|
|
|
2,327
|
|
|||
Illinois
|
2,408
|
|
|
2,536
|
|
|||
Midsouth
|
2,346
|
|
|
2,435
|
|
|||
Non-U.S.
|
3,103
|
|
|
3,549
|
|
|||
Other
(1)
|
2,499
|
|
|
3,032
|
|
|||
Total outstanding commercial real estate loans
|
$
|
57,355
|
|
|
$
|
57,199
|
|
|
By Property Type
|
|
|
|
|
|
|||
Non-residential
|
|
|
|
|||||
Office
|
$
|
16,643
|
|
|
$
|
15,246
|
|
|
Multi-family rental
|
8,817
|
|
|
8,956
|
|
|||
Shopping centers/retail
|
8,794
|
|
|
8,594
|
|
|||
Hotels / Motels
|
5,550
|
|
|
5,415
|
|
|||
Industrial / Warehouse
|
5,357
|
|
|
5,501
|
|
|||
Multi-Use
|
2,822
|
|
|
3,003
|
|
|||
Unsecured
|
1,730
|
|
|
2,056
|
|
|||
Land and land development
|
357
|
|
|
539
|
|
|||
Other
|
5,595
|
|
|
5,791
|
|
|||
Total non-residential
|
55,665
|
|
|
55,101
|
|
|||
Residential
|
1,690
|
|
|
2,098
|
|
|||
Total outstanding commercial real estate loans
|
$
|
57,355
|
|
|
$
|
57,199
|
|
(1)
|
Includes unsecured loans to real estate investment trusts and national home builders whose portfolios of properties span multiple geographic regions and properties in the states of Colorado, Utah, Hawaii, Wyoming and Montana.
|
|
|
Bank of America 2016
69
|
|
|
|
|
|
||||
Table 37
|
Nonperforming Commercial Loans, Leases and Foreclosed Properties Activity
(1, 2)
|
|||||||
|
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
Nonperforming loans and leases, January 1
|
$
|
1,212
|
|
|
$
|
1,113
|
|
|
Additions to nonperforming loans and leases:
|
|
|
|
|
|
|||
New nonperforming loans and leases
|
2,330
|
|
|
1,367
|
|
|||
Advances
|
17
|
|
|
36
|
|
|||
Reductions to nonperforming loans and leases:
|
|
|
|
|
|
|||
Paydowns
|
(824
|
)
|
|
(491
|
)
|
|||
Sales
|
(318
|
)
|
|
(108
|
)
|
|||
Returns to performing status
(3)
|
(267
|
)
|
|
(130
|
)
|
|||
Charge-offs
|
(434
|
)
|
|
(362
|
)
|
|||
Transfers to foreclosed properties
(4)
|
(4
|
)
|
|
(213
|
)
|
|||
Transfers to loans held-for-sale
|
(9
|
)
|
|
—
|
|
|||
Total net additions to nonperforming loans and leases
|
491
|
|
|
99
|
|
|||
Total nonperforming loans and leases, December 31
|
1,703
|
|
|
1,212
|
|
|||
Foreclosed properties, January 1
|
15
|
|
|
67
|
|
|||
Additions to foreclosed properties:
|
|
|
|
|
|
|||
New foreclosed properties
(4)
|
24
|
|
|
207
|
|
|||
Reductions to foreclosed properties:
|
|
|
|
|
|
|||
Sales
|
(25
|
)
|
|
(256
|
)
|
|||
Write-downs
|
—
|
|
|
(3
|
)
|
|||
Total net reductions to foreclosed properties
|
(1
|
)
|
|
(52
|
)
|
|||
Total foreclosed properties, December 31
|
14
|
|
|
15
|
|
|||
Nonperforming commercial loans, leases and foreclosed properties, December 31
|
$
|
1,717
|
|
|
$
|
1,227
|
|
|
Nonperforming commercial loans and leases as a percentage of outstanding commercial loans and leases
(5)
|
0.38
|
%
|
|
0.28
|
%
|
|||
Nonperforming commercial loans, leases and foreclosed properties as a percentage of outstanding commercial loans, leases and foreclosed properties
(5)
|
0.38
|
|
|
0.28
|
|
(1)
|
Balances do not include nonperforming LHFS of $195 million and $220 million at
December 31, 2016
and
2015
.
|
(2)
|
Includes U.S. small business commercial activity. Small business card loans are excluded as they are not classified as nonperforming.
|
(3)
|
Commercial loans and leases may be returned to performing status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected, or when the loan otherwise becomes well-secured and is in the process of collection. TDRs are generally classified as performing after a sustained period of demonstrated payment performance.
|
(4)
|
New foreclosed properties represents transfers of nonperforming loans to foreclosed properties net of charge-offs recorded during the first 90 days after transfer of a loan to foreclosed properties.
|
(5)
|
Outstanding commercial loans exclude loans accounted for under the fair value option.
|
70
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 38
|
Commercial Troubled Debt Restructurings
|
|||||||||||||||||||||||
|
|
|
||||||||||||||||||||||
|
|
December 31
|
||||||||||||||||||||||
|
|
2016
|
|
2015
|
||||||||||||||||||||
(Dollars in millions)
|
Total
|
|
Nonperforming
|
|
Performing
|
|
Total
|
|
Nonperforming
|
|
Performing
|
|||||||||||||
U.S. commercial
|
$
|
1,860
|
|
|
$
|
720
|
|
|
$
|
1,140
|
|
|
$
|
1,225
|
|
|
$
|
394
|
|
|
$
|
831
|
|
|
Commercial real estate
|
140
|
|
|
45
|
|
|
95
|
|
|
118
|
|
|
27
|
|
|
91
|
|
|||||||
Commercial lease financing
|
4
|
|
|
2
|
|
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Non-U.S. commercial
|
308
|
|
|
25
|
|
|
283
|
|
|
363
|
|
|
136
|
|
|
227
|
|
|||||||
|
2,312
|
|
|
792
|
|
|
1,520
|
|
|
1,706
|
|
|
557
|
|
|
1,149
|
|
|||||||
U.S. small business commercial
|
15
|
|
|
2
|
|
|
13
|
|
|
29
|
|
|
10
|
|
|
19
|
|
|||||||
Total commercial troubled debt restructurings
|
$
|
2,327
|
|
|
$
|
794
|
|
|
$
|
1,533
|
|
|
$
|
1,735
|
|
|
$
|
567
|
|
|
$
|
1,168
|
|
|
|
Bank of America 2016
71
|
|
|
|
|
|
|
|
|
|
||||||||
Table 39
|
Commercial Credit Exposure by Industry
(1)
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31
|
||||||||||||||
|
|
Commercial
Utilized
|
|
Total Commercial Committed
(2)
|
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
Diversified financials
|
$
|
81,156
|
|
|
$
|
79,496
|
|
|
$
|
124,535
|
|
|
$
|
128,436
|
|
|
Real estate
(3)
|
61,203
|
|
|
61,759
|
|
|
83,658
|
|
|
87,650
|
|
|||||
Retailing
|
41,630
|
|
|
37,675
|
|
|
68,507
|
|
|
63,975
|
|
|||||
Healthcare equipment and services
|
37,656
|
|
|
35,134
|
|
|
64,663
|
|
|
57,901
|
|
|||||
Capital goods
|
34,278
|
|
|
30,790
|
|
|
64,202
|
|
|
58,583
|
|
|||||
Government and public education
|
45,694
|
|
|
44,835
|
|
|
54,626
|
|
|
53,133
|
|
|||||
Banking
|
39,877
|
|
|
45,952
|
|
|
47,799
|
|
|
53,825
|
|
|||||
Materials
|
22,578
|
|
|
24,012
|
|
|
44,357
|
|
|
46,013
|
|
|||||
Consumer services
|
27,413
|
|
|
24,084
|
|
|
42,523
|
|
|
37,058
|
|
|||||
Energy
|
19,686
|
|
|
21,257
|
|
|
39,231
|
|
|
43,811
|
|
|||||
Food, beverage and tobacco
|
19,669
|
|
|
18,316
|
|
|
37,145
|
|
|
43,164
|
|
|||||
Commercial services and supplies
|
21,241
|
|
|
19,552
|
|
|
35,360
|
|
|
32,045
|
|
|||||
Transportation
|
19,805
|
|
|
19,369
|
|
|
27,483
|
|
|
27,371
|
|
|||||
Utilities
|
11,349
|
|
|
11,396
|
|
|
27,140
|
|
|
27,849
|
|
|||||
Media
|
13,419
|
|
|
12,833
|
|
|
27,116
|
|
|
24,194
|
|
|||||
Individuals and trusts
|
16,364
|
|
|
17,992
|
|
|
21,764
|
|
|
23,176
|
|
|||||
Software and services
|
7,991
|
|
|
6,617
|
|
|
19,790
|
|
|
18,362
|
|
|||||
Pharmaceuticals and biotechnology
|
5,539
|
|
|
6,302
|
|
|
18,910
|
|
|
16,472
|
|
|||||
Technology hardware and equipment
|
7,793
|
|
|
6,337
|
|
|
18,429
|
|
|
24,734
|
|
|||||
Telecommunication services
|
6,317
|
|
|
4,717
|
|
|
16,925
|
|
|
10,645
|
|
|||||
Insurance, including monolines
|
7,406
|
|
|
5,095
|
|
|
13,936
|
|
|
10,728
|
|
|||||
Automobiles and components
|
5,459
|
|
|
4,804
|
|
|
12,969
|
|
|
11,329
|
|
|||||
Consumer durables and apparel
|
6,042
|
|
|
6,053
|
|
|
11,460
|
|
|
11,165
|
|
|||||
Food and staples retailing
|
4,795
|
|
|
4,351
|
|
|
8,869
|
|
|
9,439
|
|
|||||
Religious and social organizations
|
4,423
|
|
|
4,526
|
|
|
6,252
|
|
|
5,929
|
|
|||||
Other
|
6,109
|
|
|
6,309
|
|
|
13,432
|
|
|
15,510
|
|
|||||
Total commercial credit exposure by industry
|
$
|
574,892
|
|
|
$
|
559,563
|
|
|
$
|
951,081
|
|
|
$
|
942,497
|
|
|
Net credit default protection purchased on total commitments
(4)
|
|
|
|
|
|
|
$
|
(3,477
|
)
|
|
$
|
(6,677
|
)
|
(1)
|
Includes U.S. small business commercial exposure.
|
(2)
|
Includes the notional amount of unfunded legally binding lending commitments net of amounts distributed (e.g., syndicated or participated) to other financial institutions. The distributed amounts were $
12.1 billion
and
$14.3 billion
at
December 31, 2016
and
2015
.
|
(3)
|
Industries are viewed from a variety of perspectives to best isolate the perceived risks. For purposes of this table, the real estate industry is defined based on the borrowers’ or counterparties’ primary business activity using operating cash flows and primary source of repayment as key factors.
|
(4)
|
Represents net notional credit protection purchased. For additional information, see
Commercial Portfolio Credit Risk Management – Risk Mitigation
below.
|
|
|
|
|
|
||
Table 40
|
Net Credit Default Protection by Maturity
|
|||||
|
|
|
|
|
||
|
|
December 31
|
||||
|
2016
|
|
2015
|
|||
Less than or equal to one year
|
56
|
%
|
|
39
|
%
|
|
Greater than one year and less than or equal to five years
|
41
|
|
|
59
|
|
|
Greater than five years
|
3
|
|
|
2
|
|
|
Total net credit default protection
|
100
|
%
|
|
100
|
%
|
72
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Table 41
|
Net Credit Default Protection by Credit Exposure Debt Rating
|
|||||||||||||
|
|
|
|
|
|
|
|
|
||||||
|
|
December 31
|
||||||||||||
|
|
2016
|
|
2015
|
||||||||||
(Dollars in millions)
|
Net
Notional
(1)
|
|
Percent of
Total
|
|
Net
Notional
(1)
|
|
Percent of
Total
|
|||||||
Ratings
(2, 3)
|
|
|
|
|
|
|
|
|
|
|
|
|||
A
|
$
|
(135
|
)
|
|
3.9
|
%
|
|
$
|
(752
|
)
|
|
11.3
|
%
|
|
BBB
|
(1,884
|
)
|
|
54.2
|
|
|
(3,030
|
)
|
|
45.4
|
|
|||
BB
|
(871
|
)
|
|
25.1
|
|
|
(2,090
|
)
|
|
31.3
|
|
|||
B
|
(477
|
)
|
|
13.7
|
|
|
(634
|
)
|
|
9.5
|
|
|||
CCC and below
|
(81
|
)
|
|
2.3
|
|
|
(139
|
)
|
|
2.1
|
|
|||
NR
(4)
|
(29
|
)
|
|
0.8
|
|
|
(32
|
)
|
|
0.4
|
|
|||
Total net credit default protection
|
$
|
(3,477
|
)
|
|
100.0
|
%
|
|
$
|
(6,677
|
)
|
|
100.0
|
%
|
(1)
|
Represents net credit default protection purchased.
|
(2)
|
Ratings are refreshed on a quarterly basis.
|
(3)
|
Ratings of BBB- or higher are considered to meet the definition of investment grade.
|
(4)
|
NR is comprised of index positions held and any names that have not been rated.
|
|
|
|
|
|
|
|
|
|
||||||||
Table 42
|
Credit Derivatives
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
December 31
|
||||||||||||||
|
|
2016
|
|
2015
|
||||||||||||
(Dollars in millions)
|
Contract/
Notional
|
|
Credit Risk
|
|
Contract/
Notional
|
|
Credit Risk
|
|||||||||
Purchased credit derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Credit default swaps
|
$
|
603,979
|
|
|
$
|
2,732
|
|
|
$
|
928,300
|
|
|
$
|
3,677
|
|
|
Total return swaps/other
|
21,165
|
|
|
433
|
|
|
26,427
|
|
|
1,596
|
|
|||||
Total purchased credit derivatives
|
$
|
625,144
|
|
|
$
|
3,165
|
|
|
$
|
954,727
|
|
|
$
|
5,273
|
|
|
Written credit derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Credit default swaps
|
$
|
614,355
|
|
|
n/a
|
|
|
$
|
924,143
|
|
|
n/a
|
|
|||
Total return swaps/other
|
25,354
|
|
|
n/a
|
|
|
39,658
|
|
|
n/a
|
|
|||||
Total written credit derivatives
|
$
|
639,709
|
|
|
n/a
|
|
|
$
|
963,801
|
|
|
n/a
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table 43
|
Credit Valuation Gains and Losses
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||||||
Gains (Losses)
|
2016
|
|
2015
|
|||||||||||||||||
(Dollars in millions)
|
Gross
|
Hedge
|
Net
|
|
Gross
|
Hedge
|
Net
|
|||||||||||||
Credit valuation
|
$
|
374
|
|
$
|
(160
|
)
|
$
|
214
|
|
|
$
|
255
|
|
$
|
(28
|
)
|
$
|
227
|
|
|
|
Bank of America 2016
73
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Table 44
|
Top 20 Non-U.S. Countries Exposure
|
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
(Dollars in millions)
|
Funded Loans and Loan Equivalents
|
|
Unfunded Loan Commitments
|
|
Net Counterparty Exposure
|
|
Securities/
Other
Investments
|
|
Country Exposure at December 31
2016 |
|
Hedges and Credit Default Protection
|
|
Net Country Exposure at December 31
2016 |
|
Increase (Decrease) from December 31
2015 |
|||||||||||||||||
United Kingdom
|
$
|
29,329
|
|
|
$
|
13,105
|
|
|
$
|
6,145
|
|
|
$
|
3,823
|
|
|
$
|
52,402
|
|
|
$
|
(4,669
|
)
|
|
$
|
47,733
|
|
|
$
|
(5,513
|
)
|
|
Germany
|
13,202
|
|
|
8,648
|
|
|
1,979
|
|
|
2,579
|
|
|
26,408
|
|
|
(4,030
|
)
|
|
22,378
|
|
|
8,974
|
|
|||||||||
Canada
|
6,722
|
|
|
7,159
|
|
|
2,023
|
|
|
3,803
|
|
|
19,707
|
|
|
(933
|
)
|
|
18,774
|
|
|
4,042
|
|
|||||||||
Japan
|
12,065
|
|
|
652
|
|
|
2,448
|
|
|
1,597
|
|
|
16,762
|
|
|
(1,751
|
)
|
|
15,011
|
|
|
647
|
|
|||||||||
Brazil
|
9,118
|
|
|
389
|
|
|
780
|
|
|
3,646
|
|
|
13,933
|
|
|
(267
|
)
|
|
13,666
|
|
|
(1,984
|
)
|
|||||||||
China
|
9,230
|
|
|
722
|
|
|
714
|
|
|
949
|
|
|
11,615
|
|
|
(730
|
)
|
|
10,885
|
|
|
411
|
|
|||||||||
France
|
3,112
|
|
|
4,823
|
|
|
1,899
|
|
|
5,325
|
|
|
15,159
|
|
|
(4,465
|
)
|
|
10,694
|
|
|
2,008
|
|
|||||||||
Switzerland
|
4,050
|
|
|
5,999
|
|
|
499
|
|
|
507
|
|
|
11,055
|
|
|
(1,409
|
)
|
|
9,646
|
|
|
3,383
|
|
|||||||||
India
|
6,671
|
|
|
288
|
|
|
353
|
|
|
2,086
|
|
|
9,398
|
|
|
(170
|
)
|
|
9,228
|
|
|
(1,126
|
)
|
|||||||||
Australia
|
4,792
|
|
|
2,685
|
|
|
559
|
|
|
1,249
|
|
|
9,285
|
|
|
(362
|
)
|
|
8,923
|
|
|
(622
|
)
|
|||||||||
Hong Kong
|
6,425
|
|
|
156
|
|
|
441
|
|
|
520
|
|
|
7,542
|
|
|
(63
|
)
|
|
7,479
|
|
|
(110
|
)
|
|||||||||
Netherlands
|
3,537
|
|
|
2,496
|
|
|
559
|
|
|
2,296
|
|
|
8,888
|
|
|
(1,490
|
)
|
|
7,398
|
|
|
(236
|
)
|
|||||||||
South Korea
|
4,175
|
|
|
838
|
|
|
864
|
|
|
829
|
|
|
6,706
|
|
|
(600
|
)
|
|
6,106
|
|
|
(752
|
)
|
|||||||||
Singapore
|
2,633
|
|
|
199
|
|
|
699
|
|
|
1,937
|
|
|
5,468
|
|
|
(50
|
)
|
|
5,418
|
|
|
689
|
|
|||||||||
Mexico
|
2,817
|
|
|
1,391
|
|
|
187
|
|
|
430
|
|
|
4,825
|
|
|
(341
|
)
|
|
4,484
|
|
|
(570
|
)
|
|||||||||
Italy
|
2,329
|
|
|
1,036
|
|
|
577
|
|
|
1,246
|
|
|
5,188
|
|
|
(1,101
|
)
|
|
4,087
|
|
|
(1,221
|
)
|
|||||||||
United Arab Emirates
|
2,104
|
|
|
139
|
|
|
570
|
|
|
27
|
|
|
2,840
|
|
|
(97
|
)
|
|
2,743
|
|
|
(283
|
)
|
|||||||||
Turkey
|
2,695
|
|
|
50
|
|
|
69
|
|
|
58
|
|
|
2,872
|
|
|
(182
|
)
|
|
2,690
|
|
|
(450
|
)
|
|||||||||
Spain
|
1,818
|
|
|
614
|
|
|
173
|
|
|
894
|
|
|
3,499
|
|
|
(953
|
)
|
|
2,546
|
|
|
(517
|
)
|
|||||||||
Taiwan
|
1,417
|
|
|
33
|
|
|
341
|
|
|
317
|
|
|
2,108
|
|
|
(27
|
)
|
|
2,081
|
|
|
(294
|
)
|
|||||||||
Total top 20 non-U.S. countries exposure
|
$
|
128,241
|
|
|
$
|
51,422
|
|
|
$
|
21,879
|
|
|
$
|
34,118
|
|
|
$
|
235,660
|
|
|
$
|
(23,690
|
)
|
|
$
|
211,970
|
|
|
$
|
6,476
|
|
74
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Table 45
|
Total Cross-border Exposure Exceeding One Percent of Total Assets
|
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(Dollars in millions)
|
December 31
|
|
Public Sector
|
|
Banks
|
|
Private Sector
|
|
Cross-border
Exposure |
|
Exposure as a
Percent of Total Assets |
||||||||||
United Kingdom
|
2016
|
|
$
|
2,975
|
|
|
$
|
4,557
|
|
|
$
|
42,105
|
|
|
$
|
49,637
|
|
|
2.27
|
%
|
|
|
2015
|
|
3,264
|
|
|
5,104
|
|
|
38,576
|
|
|
46,944
|
|
|
2.19
|
|
|||||
|
2014
|
|
11
|
|
|
2,056
|
|
|
34,595
|
|
|
36,662
|
|
|
1.74
|
|
|||||
France
|
2016
|
|
4,956
|
|
|
1,205
|
|
|
23,193
|
|
|
29,354
|
|
|
1.34
|
|
|||||
|
2015
|
|
3,343
|
|
|
1,766
|
|
|
17,099
|
|
|
22,208
|
|
|
1.04
|
|
|||||
|
|
2014
|
|
4,479
|
|
|
2,631
|
|
|
14,368
|
|
|
21,478
|
|
|
1.02
|
|
|
|
Bank of America 2016
75
|
76
Bank of America 2016
|
|
|
|
|
|
|
|
||||
Table 46
|
Allowance for Credit Losses
|
|
|
|
||||
|
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
Allowance for loan and lease losses, January 1
|
$
|
12,234
|
|
|
$
|
14,419
|
|
|
Loans and leases charged off
|
|
|
|
|||||
Residential mortgage
|
(403
|
)
|
|
(866
|
)
|
|||
Home equity
|
(752
|
)
|
|
(975
|
)
|
|||
U.S. credit card
|
(2,691
|
)
|
|
(2,738
|
)
|
|||
Non-U.S. credit card
|
(238
|
)
|
|
(275
|
)
|
|||
Direct/Indirect consumer
|
(392
|
)
|
|
(383
|
)
|
|||
Other consumer
|
(232
|
)
|
|
(224
|
)
|
|||
Total consumer charge-offs
|
(4,708
|
)
|
|
(5,461
|
)
|
|||
U.S. commercial
(1)
|
(567
|
)
|
|
(536
|
)
|
|||
Commercial real estate
|
(10
|
)
|
|
(30
|
)
|
|||
Commercial lease financing
|
(30
|
)
|
|
(19
|
)
|
|||
Non-U.S. commercial
|
(133
|
)
|
|
(59
|
)
|
|||
Total commercial charge-offs
|
(740
|
)
|
|
(644
|
)
|
|||
Total loans and leases charged off
|
(5,448
|
)
|
|
(6,105
|
)
|
|||
Recoveries of loans and leases previously charged off
|
|
|
|
|||||
Residential mortgage
|
272
|
|
|
393
|
|
|||
Home equity
|
347
|
|
|
339
|
|
|||
U.S. credit card
|
422
|
|
|
424
|
|
|||
Non-U.S. credit card
|
63
|
|
|
87
|
|
|||
Direct/Indirect consumer
|
258
|
|
|
271
|
|
|||
Other consumer
|
27
|
|
|
31
|
|
|||
Total consumer recoveries
|
1,389
|
|
|
1,545
|
|
|||
U.S. commercial
(2)
|
175
|
|
|
172
|
|
|||
Commercial real estate
|
41
|
|
|
35
|
|
|||
Commercial lease financing
|
9
|
|
|
10
|
|
|||
Non-U.S. commercial
|
13
|
|
|
5
|
|
|||
Total commercial recoveries
|
238
|
|
|
222
|
|
|||
Total recoveries of loans and leases previously charged off
|
1,627
|
|
|
1,767
|
|
|||
Net charge-offs
|
(3,821
|
)
|
|
(4,338
|
)
|
|||
Write-offs of PCI loans
|
(340
|
)
|
|
(808
|
)
|
|||
Provision for loan and lease losses
|
3,581
|
|
|
3,043
|
|
|||
Other
(3)
|
(174
|
)
|
|
(82
|
)
|
|||
Allowance for loan and lease losses, December 31
|
11,480
|
|
|
12,234
|
|
|||
Less: Allowance included in assets of business held for sale
(4)
|
(243
|
)
|
|
—
|
|
|||
Total allowance for loan and lease losses, December 31
|
11,237
|
|
|
12,234
|
|
|||
Reserve for unfunded lending commitments, January 1
|
646
|
|
|
528
|
|
|||
Provision for unfunded lending commitments
|
16
|
|
|
118
|
|
|||
Other
(3)
|
100
|
|
|
—
|
|
|||
Reserve for unfunded lending commitments, December 31
|
762
|
|
|
646
|
|
|||
Allowance for credit losses, December 31
|
$
|
11,999
|
|
|
$
|
12,880
|
|
(1)
|
Includes U.S. small business commercial charge-offs of
$253 million
and
$282 million
in
2016
and
2015
.
|
(2)
|
Includes U.S. small business commercial recoveries of
$45 million
and
$57 million
in
2016
and
2015
.
|
(3)
|
Primarily represents the net impact of portfolio sales, consolidations and deconsolidations, foreign currency translation adjustments and certain other reclassifications.
|
(4)
|
Represents allowance related to the non-U.S. credit card loan portfolio, which is included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
|
|
Bank of America 2016
77
|
|
|
|
|
|
||||
Table 46
|
Allowance for Credit Losses (continued)
|
|
|
|
||||
|
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
|||||
Loan and allowance ratios
(5)
:
|
|
|
|
|||||
Loans and leases outstanding at December 31
(6)
|
$
|
908,812
|
|
|
$
|
890,045
|
|
|
Allowance for loan and lease losses as a percentage of total loans and leases outstanding at December 31
(6)
|
1.26
|
%
|
|
1.37
|
%
|
|||
Consumer allowance for loan and lease losses as a percentage of total consumer loans and leases outstanding at December 31
(7)
|
1.36
|
|
|
1.63
|
|
|||
Commercial allowance for loan and lease losses as a percentage of total commercial loans and leases outstanding at December 31
(8)
|
1.16
|
|
|
1.11
|
|
|||
Average loans and leases outstanding
(6)
|
$
|
892,255
|
|
|
$
|
869,065
|
|
|
Net charge-offs as a percentage of average loans and leases outstanding
(6, 9)
|
0.43
|
%
|
|
0.50
|
%
|
|||
Net charge-offs and PCI write-offs as a percentage of average loans and leases outstanding
(6)
|
0.47
|
|
|
0.59
|
|
|||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases at December 31
(6, 10)
|
149
|
|
|
130
|
|
|||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs
(9)
|
3.00
|
|
|
2.82
|
|
|||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs and PCI write-offs
|
2.76
|
|
|
2.38
|
|
|||
Amounts included in allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases at December 31
(11)
|
$
|
3,951
|
|
|
$
|
4,518
|
|
|
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases, excluding the allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases at December 31
(6, 11)
|
98
|
%
|
|
82
|
%
|
|||
Loan and allowance ratios excluding PCI loans and the related valuation allowance:
(5, 12)
|
|
|
|
|
||||
Allowance for loan and lease losses as a percentage of total loans and leases outstanding at December 31
(6)
|
1.24
|
%
|
|
1.31
|
%
|
|||
Consumer allowance for loan and lease losses as a percentage of total consumer loans and leases outstanding at December 31
(7)
|
1.31
|
|
|
1.50
|
|
|||
Net charge-offs as a percentage of average loans and leases outstanding
(6)
|
0.44
|
|
|
0.51
|
|
|||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases at December 31
(6, 10)
|
144
|
|
|
122
|
|
|||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs
|
2.89
|
|
|
2.64
|
|
(5)
|
Loan and allowance ratios include $243 million of non-U.S. credit card allowance for loan and lease losses and $9.2 billion of ending non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(6)
|
Outstanding loan and lease balances and ratios do not include loans accounted for under the fair value option of
$7.1 billion
and
$6.9 billion
at
December 31, 2016 and 2015
. Average loans accounted for under the fair value option were
$8.2 billion
and
$7.7 billion
in
2016
and
2015
.
|
(7)
|
Excludes consumer loans accounted for under the fair value option of
$1.1 billion
and
$1.9 billion
at
December 31, 2016 and 2015
.
|
(8)
|
Excludes commercial loans accounted for under the fair value option of
$6.0 billion
and
$5.1 billion
at
December 31, 2016 and 2015
.
|
(9)
|
Net charge-offs exclude
$340 million
and
$808 million
of write-offs in the PCI loan portfolio in
2016
and
2015
. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(10)
|
For more information on our definition of nonperforming loans, see pages
64
and
70
.
|
(11)
|
Primarily includes amounts allocated to U.S. credit card and unsecured consumer lending portfolios in
Consumer Banking
, PCI loans and the non-U.S. credit card portfolio in
All Other
.
|
(12)
|
For more information on the PCI loan portfolio and the valuation allowance for PCI loans, see
Note 4 – Outstanding Loans and Leases
and
Note 5 – Allowance for Credit Losses
to the Consolidated Financial Statements
.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Table 47
|
Allocation of the Allowance for Credit Losses by Product Type
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
||||||||||||||||
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||||||
(Dollars in millions)
|
Amount
|
|
Percent of
Total
|
|
Percent of
Loans and Leases
Outstanding
(1)
|
|
Amount
|
|
Percent of
Total
|
|
Percent of
Loans and Leases
Outstanding
(1)
|
|||||||||
Allowance for loan and lease losses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Residential mortgage
|
$
|
1,012
|
|
|
8.82
|
%
|
|
0.53
|
%
|
|
$
|
1,500
|
|
|
12.26
|
%
|
|
0.80
|
%
|
|
Home equity
|
1,738
|
|
|
15.14
|
|
|
2.62
|
|
|
2,414
|
|
|
19.73
|
|
|
3.18
|
|
|||
U.S. credit card
|
2,934
|
|
|
25.56
|
|
|
3.18
|
|
|
2,927
|
|
|
23.93
|
|
|
3.27
|
|
|||
Non-U.S. credit card
|
243
|
|
|
2.12
|
|
|
2.64
|
|
|
274
|
|
|
2.24
|
|
|
2.75
|
|
|||
Direct/Indirect consumer
|
244
|
|
|
2.13
|
|
|
0.26
|
|
|
223
|
|
|
1.82
|
|
|
0.25
|
|
|||
Other consumer
|
51
|
|
|
0.44
|
|
|
2.01
|
|
|
47
|
|
|
0.38
|
|
|
2.27
|
|
|||
Total consumer
|
6,222
|
|
|
54.21
|
|
|
1.36
|
|
|
7,385
|
|
|
60.36
|
|
|
1.63
|
|
|||
U.S. commercial
(2)
|
3,326
|
|
|
28.97
|
|
|
1.17
|
|
|
2,964
|
|
|
24.23
|
|
|
1.12
|
|
|||
Commercial real estate
|
920
|
|
|
8.01
|
|
|
1.60
|
|
|
967
|
|
|
7.90
|
|
|
1.69
|
|
|||
Commercial lease financing
|
138
|
|
|
1.20
|
|
|
0.62
|
|
|
164
|
|
|
1.34
|
|
|
0.77
|
|
|||
Non-U.S. commercial
|
874
|
|
|
7.61
|
|
|
0.98
|
|
|
754
|
|
|
6.17
|
|
|
0.82
|
|
|||
Total commercial
(3)
|
5,258
|
|
|
45.79
|
|
|
1.16
|
|
|
4,849
|
|
|
39.64
|
|
|
1.11
|
|
|||
Allowance for loan and lease losses
(4)
|
11,480
|
|
|
100.00
|
%
|
|
1.26
|
|
|
12,234
|
|
|
100.00
|
%
|
|
1.37
|
|
|||
Less: Allowance included in assets of business held for sale
(5)
|
(243
|
)
|
|
|
|
|
|
—
|
|
|
|
|
|
|||||||
Total allowance for loan and lease losses
|
11,237
|
|
|
|
|
|
|
12,234
|
|
|
|
|
|
|||||||
Reserve for unfunded lending commitments
|
762
|
|
|
|
|
|
|
646
|
|
|
|
|
|
|
|
|||||
Allowance for credit losses
|
$
|
11,999
|
|
|
|
|
|
|
$
|
12,880
|
|
|
|
|
|
|
|
(1)
|
Ratios are calculated as allowance for loan and lease losses as a percentage of loans and leases outstanding excluding loans accounted for under the fair value option. Consumer loans accounted for under the fair value option included residential mortgage loans of
$710 million
and
$1.6 billion
and home equity loans of
$341 million
and
$250 million
at
December 31, 2016 and 2015
. Commercial loans accounted for under the fair value option included U.S. commercial loans of
$2.9 billion
and
$2.3 billion
and non-U.S. commercial loans of
$3.1 billion
and
$2.8 billion
at
December 31, 2016 and 2015
.
|
(2)
|
Includes allowance for loan and lease losses for U.S. small business commercial loans of
$416 million
and
$507 million
at
December 31, 2016 and 2015
.
|
(3)
|
Includes allowance for loan and lease losses for impaired commercial loans of
$273 million
and
$217 million
at
December 31, 2016 and 2015
.
|
(4)
|
Includes
$419 million
and
$804 million
of valuation allowance presented with the allowance for loan and lease losses related to PCI loans at
December 31, 2016 and 2015
.
|
(5)
|
Represents allowance for loan and lease losses related to the non-U.S. credit card loan portfolio, which is included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
78
Bank of America 2016
|
|
|
|
|
Bank of America 2016
79
|
80
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Table 48
|
Market Risk VaR for Trading Activities
|
|
|
|
|
|||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
|
2016
|
|
2015
|
||||||||||||||||||||||||||||
(Dollars in millions)
|
Year End
|
|
Average
|
|
High
(1)
|
|
Low
(1)
|
|
Year End
|
|
Average
|
|
High
(1)
|
|
Low
(1)
|
|||||||||||||||||
Foreign exchange
|
$
|
8
|
|
|
$
|
9
|
|
|
$
|
16
|
|
|
$
|
5
|
|
|
$
|
10
|
|
|
$
|
10
|
|
|
$
|
42
|
|
|
$
|
5
|
|
|
Interest rate
|
11
|
|
|
19
|
|
|
30
|
|
|
10
|
|
|
17
|
|
|
25
|
|
|
42
|
|
|
14
|
|
|||||||||
Credit
|
25
|
|
|
30
|
|
|
37
|
|
|
25
|
|
|
32
|
|
|
35
|
|
|
46
|
|
|
27
|
|
|||||||||
Equity
|
19
|
|
|
18
|
|
|
30
|
|
|
11
|
|
|
18
|
|
|
16
|
|
|
33
|
|
|
9
|
|
|||||||||
Commodity
|
4
|
|
|
6
|
|
|
12
|
|
|
3
|
|
|
4
|
|
|
5
|
|
|
8
|
|
|
3
|
|
|||||||||
Portfolio diversification
|
(39
|
)
|
|
(46
|
)
|
|
—
|
|
|
—
|
|
|
(36
|
)
|
|
(46
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Total covered positions trading portfolio
|
28
|
|
|
36
|
|
|
50
|
|
|
24
|
|
|
45
|
|
|
45
|
|
|
66
|
|
|
26
|
|
|||||||||
Impact from less liquid exposures
|
6
|
|
|
5
|
|
|
—
|
|
|
—
|
|
|
3
|
|
|
8
|
|
|
—
|
|
|
—
|
|
|||||||||
Total market-based trading portfolio
|
34
|
|
|
41
|
|
|
58
|
|
|
28
|
|
|
48
|
|
|
53
|
|
|
74
|
|
|
31
|
|
|||||||||
Fair value option loans
|
14
|
|
|
23
|
|
|
40
|
|
|
12
|
|
|
35
|
|
|
26
|
|
|
36
|
|
|
17
|
|
|||||||||
Fair value option hedges
|
6
|
|
|
11
|
|
|
22
|
|
|
5
|
|
|
17
|
|
|
14
|
|
|
22
|
|
|
8
|
|
|||||||||
Fair value option portfolio diversification
|
(10
|
)
|
|
(21
|
)
|
|
—
|
|
|
—
|
|
|
(35
|
)
|
|
(26
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Total fair value option portfolio
|
10
|
|
|
13
|
|
|
20
|
|
|
8
|
|
|
17
|
|
|
14
|
|
|
19
|
|
|
10
|
|
|||||||||
Portfolio diversification
|
(4
|
)
|
|
(6
|
)
|
|
—
|
|
|
—
|
|
|
(4
|
)
|
|
(6
|
)
|
|
—
|
|
|
—
|
|
|||||||||
Total market-based portfolio
|
$
|
40
|
|
|
$
|
48
|
|
|
$
|
70
|
|
|
$
|
32
|
|
|
$
|
61
|
|
|
$
|
61
|
|
|
$
|
85
|
|
|
$
|
41
|
|
(1)
|
The high and low for each portfolio may have occurred on different trading days than the high and low for the components. Therefore the impact from less liquid exposures and the amount of portfolio diversification, which is the difference between the total portfolio and the sum of the individual components, are not relevant.
|
|
|
Bank of America 2016
81
|
|
|
|
|
|
|
|
|
|
|
||||||||
Table 49
|
Average Market Risk VaR for Trading Activities – 99 percent and 95 percent VaR Statistics
|
|
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
2016
|
|
2015
|
||||||||||||
(Dollars in millions)
|
|
99 percent
|
|
95 percent
|
|
99 percent
|
|
95 percent
|
|||||||||
Foreign exchange
|
|
$
|
9
|
|
|
$
|
5
|
|
|
$
|
10
|
|
|
$
|
6
|
|
|
Interest rate
|
|
19
|
|
|
12
|
|
|
25
|
|
|
15
|
|
|||||
Credit
|
|
30
|
|
|
18
|
|
|
35
|
|
|
20
|
|
|||||
Equity
|
|
18
|
|
|
11
|
|
|
16
|
|
|
9
|
|
|||||
Commodity
|
|
6
|
|
|
3
|
|
|
5
|
|
|
3
|
|
|||||
Portfolio diversification
|
|
(46
|
)
|
|
(30
|
)
|
|
(46
|
)
|
|
(31
|
)
|
|||||
Total covered positions trading portfolio
|
|
36
|
|
|
19
|
|
|
45
|
|
|
22
|
|
|||||
Impact from less liquid exposures
|
|
5
|
|
|
3
|
|
|
8
|
|
|
3
|
|
|||||
Total market-based trading portfolio
|
|
41
|
|
|
22
|
|
|
53
|
|
|
25
|
|
|||||
Fair value option loans
|
|
23
|
|
|
13
|
|
|
26
|
|
|
15
|
|
|||||
Fair value option hedges
|
|
11
|
|
|
8
|
|
|
14
|
|
|
9
|
|
|||||
Fair value option portfolio diversification
|
|
(21
|
)
|
|
(13
|
)
|
|
(26
|
)
|
|
(16
|
)
|
|||||
Total fair value option portfolio
|
|
13
|
|
|
8
|
|
|
14
|
|
|
8
|
|
|||||
Portfolio diversification
|
|
(6
|
)
|
|
(4
|
)
|
|
(6
|
)
|
|
(5
|
)
|
|||||
Total market-based portfolio
|
|
$
|
48
|
|
|
$
|
26
|
|
|
$
|
61
|
|
|
$
|
28
|
|
82
Bank of America 2016
|
|
|
|
|
Bank of America 2016
83
|
|
|
|
|
|
|
|
|||
Table 50
|
Forward Rates
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|||
|
|
December 31, 2016
|
|||||||
|
|
Federal
Funds
|
|
Three-month
LIBOR
|
|
10-Year
Swap
|
|||
Spot rates
|
0.75
|
%
|
|
1.00
|
%
|
|
2.34
|
%
|
|
12-month forward rates
|
1.25
|
|
|
1.51
|
|
|
2.49
|
|
|
|
|
|
|
|
|
|
|||
|
|
December 31, 2015
|
|||||||
Spot rates
|
0.50
|
%
|
|
0.61
|
%
|
|
2.19
|
%
|
|
12-month forward rates
|
1.00
|
|
|
1.22
|
|
|
2.39
|
|
|
|
|
|
|
|
|
|
|
||||||
Table 51
|
Estimated Banking Book Net Interest Income Sensitivity
|
|||||||||||||
|
|
|
|
|
|
|
|
|
||||||
(Dollars in millions)
|
Short
Rate (bps)
|
|
Long
Rate (bps)
|
|
December 31
|
|||||||||
Curve Change
|
|
|
2016
|
|
2015
|
|||||||||
Parallel Shifts
|
|
|
|
|
|
|
|
|||||||
+100 bps
instantaneous shift
|
+100
|
|
+100
|
|
$
|
3,370
|
|
|
$
|
3,606
|
|
|||
-50 bps
instantaneous shift
|
-50
|
|
|
-50
|
|
|
(2,900
|
)
|
|
(3,458
|
)
|
|||
Flatteners
|
|
|
|
|
|
|
|
|
|
|
|
|||
Short-end
instantaneous change
|
+100
|
|
—
|
|
|
2,473
|
|
|
2,418
|
|
||||
Long-end
instantaneous change
|
—
|
|
|
-50
|
|
|
(961
|
)
|
|
(1,767
|
)
|
|||
Steepeners
|
|
|
|
|
|
|
|
|
|
|
||||
Short-end
instantaneous change
|
-50
|
|
|
—
|
|
|
(1,918
|
)
|
|
(1,672
|
)
|
|||
Long-end
instantaneous change
|
—
|
|
|
+100
|
|
928
|
|
|
1,217
|
|
84
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Table 52
|
Asset and Liability Management Interest Rate and Foreign Exchange Contracts
|
||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||
|
|
|
|
December 31, 2016
|
|
|
|||||||||||||||||||||||||||||
|
|
|
|
Expected Maturity
|
|
|
|||||||||||||||||||||||||||||
(Dollars in millions, average estimated duration in years)
|
Fair
Value
|
|
Total
|
|
2017
|
|
2018
|
|
2019
|
|
2020
|
|
2021
|
|
Thereafter
|
|
Average
Estimated
Duration
|
||||||||||||||||||
Receive-fixed interest rate swaps
(1)
|
$
|
4,055
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4.81
|
|
||||||||
Notional amount
|
|
|
|
$
|
118,603
|
|
|
$
|
21,453
|
|
|
$
|
25,788
|
|
|
$
|
10,283
|
|
|
$
|
7,515
|
|
|
$
|
5,307
|
|
|
$
|
48,257
|
|
|
|
|
||
Weighted-average fixed-rate
|
|
|
|
2.83
|
%
|
|
3.64
|
%
|
|
2.81
|
%
|
|
2.31
|
%
|
|
2.07
|
%
|
|
3.18
|
%
|
|
2.67
|
%
|
|
|
|
|||||||||
Pay-fixed interest rate swaps
(1)
|
159
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2.77
|
|
|||||||||
Notional amount
|
|
|
|
$
|
22,400
|
|
|
$
|
1,527
|
|
|
$
|
9,168
|
|
|
$
|
2,072
|
|
|
$
|
7,975
|
|
|
$
|
213
|
|
|
$
|
1,445
|
|
|
|
|
||
Weighted-average fixed-rate
|
|
|
|
1.37
|
%
|
|
1.84
|
%
|
|
1.47
|
%
|
|
0.97
|
%
|
|
1.08
|
%
|
|
1.00
|
%
|
|
2.45
|
%
|
|
|
|
|||||||||
Same-currency basis swaps
(2)
|
(26
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
|
|
|
|
$
|
59,274
|
|
|
$
|
20,775
|
|
|
$
|
11,027
|
|
|
$
|
6,784
|
|
|
$
|
1,180
|
|
|
$
|
2,799
|
|
|
$
|
16,709
|
|
|
|
|
||
Foreign exchange basis swaps
(1, 3, 4)
|
(4,233
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
|
|
|
|
125,522
|
|
|
26,509
|
|
|
22,724
|
|
|
12,178
|
|
|
12,150
|
|
|
8,365
|
|
|
43,596
|
|
|
|
|
|||||||||
Option products
(5)
|
5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
(6)
|
|
|
|
1,687
|
|
|
1,673
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14
|
|
|
|
|
|||||||||
Foreign exchange contracts
(1, 4, 7)
|
3,180
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
(6)
|
|
|
(20,285
|
)
|
|
(30,199
|
)
|
|
197
|
|
|
1,961
|
|
|
(8
|
)
|
|
881
|
|
|
6,883
|
|
|
|
|
||||||||||
Futures and forward rate contracts
|
19
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
(6)
|
|
|
|
37,896
|
|
|
37,896
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
|
|||||||||
Net ALM contracts
|
$
|
3,159
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
|
|
|
|
December 31, 2015
|
|
|
|||||||||||||||||||||||||||||
|
|
|
|
Expected Maturity
|
|
|
|||||||||||||||||||||||||||||
(Dollars in millions, average estimated duration in years)
|
Fair
Value
|
|
Total
|
|
2016
|
|
2017
|
|
2018
|
|
2019
|
|
2020
|
|
Thereafter
|
|
Average
Estimated
Duration
|
||||||||||||||||||
Receive-fixed interest rate swaps
(1)
|
$
|
6,291
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4.98
|
|
||||||||
Notional amount
|
|
|
|
$
|
114,354
|
|
|
$
|
15,339
|
|
|
$
|
21,453
|
|
|
$
|
21,850
|
|
|
$
|
9,783
|
|
|
$
|
7,015
|
|
|
$
|
38,914
|
|
|
|
|
||
Weighted-average fixed-rate
|
|
|
|
3.12
|
%
|
|
3.12
|
%
|
|
3.64
|
%
|
|
3.20
|
%
|
|
2.37
|
%
|
|
2.13
|
%
|
|
3.16
|
%
|
|
|
|
|||||||||
Pay-fixed interest rate swaps
(1)
|
(81
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.98
|
|
|||||||||
Notional amount
|
|
|
|
$
|
12,131
|
|
|
$
|
1,025
|
|
|
$
|
1,527
|
|
|
$
|
5,668
|
|
|
$
|
600
|
|
|
$
|
51
|
|
|
$
|
3,260
|
|
|
|
|
||
Weighted-average fixed-rate
|
|
|
|
1.70
|
%
|
|
1.65
|
%
|
|
1.84
|
%
|
|
1.41
|
%
|
|
1.59
|
%
|
|
3.64
|
%
|
|
2.15
|
%
|
|
|
|
|||||||||
Same-currency basis swaps
(2)
|
(70
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
|
|
|
|
$
|
75,224
|
|
|
$
|
15,692
|
|
|
$
|
20,833
|
|
|
$
|
11,026
|
|
|
$
|
6,786
|
|
|
$
|
1,180
|
|
|
$
|
19,707
|
|
|
|
|
||
Foreign exchange basis swaps
(1, 3, 4)
|
(3,968
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
|
|
|
|
144,446
|
|
|
25,762
|
|
|
27,441
|
|
|
19,319
|
|
|
12,226
|
|
|
10,572
|
|
|
49,126
|
|
|
|
|
|||||||||
Option products
(5)
|
57
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
(6)
|
|
|
|
752
|
|
|
737
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15
|
|
|
|
|
|||||||||
Foreign exchange contracts
(1, 4, 7)
|
2,345
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
(6)
|
|
|
|
(25,405
|
)
|
|
(36,504
|
)
|
|
5,380
|
|
|
(2,228
|
)
|
|
2,123
|
|
|
52
|
|
|
5,772
|
|
|
|
|
|||||||||
Futures and forward rate contracts
|
(5
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Notional amount
(6)
|
|
|
|
200
|
|
|
200
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
|
|||||||||
Net ALM contracts
|
$
|
4,569
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Does not include basis adjustments on either fixed-rate debt issued by the Corporation or AFS debt securities, which are hedged using derivatives designated as fair value hedging instruments, that substantially offset the fair values of these derivatives.
|
(2)
|
At
December 31, 2016 and 2015
, the notional amount of same-currency basis swaps included
$59.3 billion
and
$75.2 billion
in both foreign currency and U.S. Dollar-denominated basis swaps in which both sides of the swap are in the same currency.
|
(3)
|
Foreign exchange basis swaps consisted of cross-currency variable interest rate swaps used separately or in conjunction with receive-fixed interest rate swaps.
|
(4)
|
Does not include foreign currency translation adjustments on certain non-U.S. debt issued by the Corporation that substantially offset the fair values of these derivatives.
|
(5)
|
The notional amount of option products of
$1.7 billion
at
December 31, 2016
was comprised of
$1.7 billion
in foreign exchange options and
$14 million
in purchased caps/floors. Option products of
$752 million
at
December 31, 2015
were comprised of
$737 million
in foreign exchange options and
$15 million
in purchased caps/floors.
|
(6)
|
Reflects the net of long and short positions. Amounts shown as negative reflect a net short position.
|
(7)
|
The notional amount of foreign exchange contracts of
$(20.3) billion
at
December 31, 2016
was comprised of
$21.5 billion
in foreign currency-denominated and cross-currency receive-fixed swaps,
$(38.5) billion
in net foreign currency forward rate contracts,
$(4.6) billion
in foreign currency-denominated pay-fixed swaps and
$1.3 billion
in net foreign currency futures contracts. Foreign exchange contracts of
$(25.4) billion
at
December 31, 2015
were comprised of
$21.3 billion
in foreign currency-denominated and cross-currency receive-fixed swaps,
$(40.3) billion
in net foreign currency forward rate contracts,
$(7.6) billion
in foreign currency-denominated pay-fixed swaps and
$1.2 billion
in foreign currency futures contracts.
|
|
|
Bank of America 2016
85
|
86
Bank of America 2016
|
|
|
|
|
Bank of America 2016
87
|
88
Bank of America 2016
|
|
|
|
|
Bank of America 2016
89
|
●
|
Investment banking income
decreased
$493 million
driven by lower debt and equity issuance fees, partially offset by higher advisory fees.
|
90
Bank of America 2016
|
|
|
●
|
Trading account profits
increased
$164 million
. Excluding DVA, trading account profits decreased $330 million driven by declines in credit-related products reflecting lower client activity, partially offset by strong performance in equity derivatives, increased client activity in equities in the Asia-Pacific region, improvement in currencies on higher client flows and increased volatility.
|
●
|
Mortgage banking income
increased
$801 million
primarily due to a benefit for representations and warranties in
2015
compared to a provision in
2014
, and to a lesser extent, improved MSR net-of-hedge performance and an increase in core production revenue, partially offset by a decline in servicing fees.
|
●
|
Other income decreased $1.2 billion primarily due to DVA gains of
$407 million
in
2014
compared to DVA losses of $633 million in
2015
and an $869 million decrease in equity investment income as 2014 included a gain on the sale of a portion of an equity investment and gains from an initial public offering (IPO) of an equity investment in
Global Markets
. These declines were partially offset by higher gains on asset sales and lower PPI costs in
2015
.
|
●
|
Personnel expense
decreased
$919 million
as we continue to streamline processes, reduce headcount and achieve cost savings.
|
●
|
Occupancy
decreased
$167 million
primarily due to our focus on reducing our rental footprint.
|
●
|
Professional fees
decreased
$208 million
due to lower default-related servicing expenses and legal fees.
|
●
|
Telecommunications expense
decreased
$436 million
due to efficiencies gained as we have simplified our operating model, including in-sourcing certain functions.
|
●
|
Other general operating expense
decreased
$16.0 billion
primarily due to a decrease of $15.2 billion in litigation expense which was primarily related to previously disclosed legacy mortgage-related matters and other litigation charges in 2014.
|
|
|
Bank of America 2016
91
|
92
Bank of America 2016
|
|
|
Statistical Tables
|
|
|
|
Table of Contents
|
|
|
|
|
Page
|
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
Table X – Non-exchange Traded Commodity
Related Contracts
|
|
|
Table XI – Non-exchange Traded Commodity
Related Contract Maturities
|
|
|
|
||
|
||
|
||
|
||
|
|
|
Bank of America 2016
93
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Table I
Average Balances and Interest Rates – FTE Basis
|
||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|||||||||||||||||||||||||||
(Dollars in millions)
|
Average
Balance |
|
Interest
Income/ Expense |
|
Yield/
Rate |
|
Average
Balance |
|
Interest
Income/ Expense |
|
Yield/
Rate |
|
Average
Balance |
|
Interest
Income/ Expense |
|
Yield/
Rate |
|||||||||||||||
Earning assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest-bearing deposits with the Federal Reserve, non-U.S. central banks and other banks
|
$
|
133,374
|
|
|
$
|
605
|
|
|
0.45
|
%
|
|
$
|
136,391
|
|
|
$
|
369
|
|
|
0.27
|
%
|
|
$
|
113,999
|
|
|
$
|
308
|
|
|
0.27
|
%
|
Time deposits placed and other short-term investments
|
9,026
|
|
|
140
|
|
|
1.55
|
|
|
9,556
|
|
|
146
|
|
|
1.53
|
|
|
11,032
|
|
|
170
|
|
|
1.54
|
|
||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
216,161
|
|
|
1,118
|
|
|
0.52
|
|
|
211,471
|
|
|
988
|
|
|
0.47
|
|
|
222,483
|
|
|
1,039
|
|
|
0.47
|
|
||||||
Trading account assets
|
129,766
|
|
|
4,563
|
|
|
3.52
|
|
|
137,837
|
|
|
4,547
|
|
|
3.30
|
|
|
145,686
|
|
|
4,716
|
|
|
3.24
|
|
||||||
Debt securities
(1)
|
418,289
|
|
|
9,263
|
|
|
2.23
|
|
|
390,849
|
|
|
9,233
|
|
|
2.38
|
|
|
351,437
|
|
|
9,051
|
|
|
2.57
|
|
||||||
Loans and leases
(2)
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Residential mortgage
|
188,250
|
|
|
6,488
|
|
|
3.45
|
|
|
201,366
|
|
|
6,967
|
|
|
3.46
|
|
|
237,270
|
|
|
8,462
|
|
|
3.57
|
|
||||||
Home equity
|
71,760
|
|
|
2,713
|
|
|
3.78
|
|
|
81,070
|
|
|
2,984
|
|
|
3.68
|
|
|
89,705
|
|
|
3,340
|
|
|
3.72
|
|
||||||
U.S. credit card
|
87,905
|
|
|
8,170
|
|
|
9.29
|
|
|
88,244
|
|
|
8,085
|
|
|
9.16
|
|
|
88,962
|
|
|
8,313
|
|
|
9.34
|
|
||||||
Non-U.S. credit card
|
9,527
|
|
|
926
|
|
|
9.72
|
|
|
10,104
|
|
|
1,051
|
|
|
10.40
|
|
|
11,511
|
|
|
1,200
|
|
|
10.42
|
|
||||||
Direct/Indirect consumer
(3)
|
91,853
|
|
|
2,296
|
|
|
2.50
|
|
|
84,585
|
|
|
2,040
|
|
|
2.41
|
|
|
82,409
|
|
|
2,099
|
|
|
2.55
|
|
||||||
Other consumer
(4)
|
2,295
|
|
|
75
|
|
|
3.26
|
|
|
1,938
|
|
|
56
|
|
|
2.86
|
|
|
2,029
|
|
|
139
|
|
|
6.86
|
|
||||||
Total consumer
|
451,590
|
|
|
20,668
|
|
|
4.58
|
|
|
467,307
|
|
|
21,183
|
|
|
4.53
|
|
|
511,886
|
|
|
23,553
|
|
|
4.60
|
|
||||||
U.S. commercial
|
276,887
|
|
|
8,101
|
|
|
2.93
|
|
|
248,354
|
|
|
6,883
|
|
|
2.77
|
|
|
230,172
|
|
|
6,630
|
|
|
2.88
|
|
||||||
Commercial real estate
(5)
|
57,547
|
|
|
1,773
|
|
|
3.08
|
|
|
52,136
|
|
|
1,521
|
|
|
2.92
|
|
|
47,525
|
|
|
1,432
|
|
|
3.01
|
|
||||||
Commercial lease financing
|
21,146
|
|
|
627
|
|
|
2.97
|
|
|
19,802
|
|
|
628
|
|
|
3.17
|
|
|
19,226
|
|
|
658
|
|
|
3.42
|
|
||||||
Non-U.S. commercial
|
93,263
|
|
|
2,337
|
|
|
2.51
|
|
|
89,188
|
|
|
2,008
|
|
|
2.25
|
|
|
89,894
|
|
|
2,196
|
|
|
2.44
|
|
||||||
Total commercial
|
448,843
|
|
|
12,838
|
|
|
2.86
|
|
|
409,480
|
|
|
11,040
|
|
|
2.70
|
|
|
386,817
|
|
|
10,916
|
|
|
2.82
|
|
||||||
Total loans and leases
(1)
|
900,433
|
|
|
33,506
|
|
|
3.72
|
|
|
876,787
|
|
|
32,223
|
|
|
3.68
|
|
|
898,703
|
|
|
34,469
|
|
|
3.84
|
|
||||||
Other earning assets
|
59,775
|
|
|
2,762
|
|
|
4.62
|
|
|
62,040
|
|
|
2,890
|
|
|
4.66
|
|
|
66,128
|
|
|
2,812
|
|
|
4.25
|
|
||||||
Total earning assets
(6)
|
1,866,824
|
|
|
51,957
|
|
|
2.78
|
|
|
1,824,931
|
|
|
50,396
|
|
|
2.76
|
|
|
1,809,468
|
|
|
52,565
|
|
|
2.90
|
|
||||||
Cash and due from banks
(1)
|
27,893
|
|
|
|
|
|
|
|
28,921
|
|
|
|
|
|
|
|
27,079
|
|
|
|
|
|
|
|||||||||
Other assets, less allowance for loan and lease losses
(1)
|
295,254
|
|
|
|
|
|
|
|
|
306,345
|
|
|
|
|
|
|
|
|
308,846
|
|
|
|
|
|
|
|
||||||
Total assets
|
$
|
2,189,971
|
|
|
|
|
|
|
|
|
$
|
2,160,197
|
|
|
|
|
|
|
|
|
$
|
2,145,393
|
|
|
|
|
|
|
|
|||
Interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings
|
$
|
49,495
|
|
|
$
|
5
|
|
|
0.01
|
%
|
|
$
|
46,498
|
|
|
$
|
7
|
|
|
0.01
|
%
|
|
$
|
46,270
|
|
|
$
|
3
|
|
|
0.01
|
%
|
NOW and money market deposit accounts
|
589,737
|
|
|
294
|
|
|
0.05
|
|
|
543,133
|
|
|
273
|
|
|
0.05
|
|
|
518,893
|
|
|
316
|
|
|
0.06
|
|
||||||
Consumer CDs and IRAs
|
48,594
|
|
|
133
|
|
|
0.27
|
|
|
54,679
|
|
|
162
|
|
|
0.30
|
|
|
66,797
|
|
|
264
|
|
|
0.40
|
|
||||||
Negotiable CDs, public funds and other deposits
|
32,889
|
|
|
160
|
|
|
0.49
|
|
|
29,976
|
|
|
95
|
|
|
0.32
|
|
|
31,507
|
|
|
108
|
|
|
0.34
|
|
||||||
Total U.S. interest-bearing deposits
|
720,715
|
|
|
592
|
|
|
0.08
|
|
|
674,286
|
|
|
537
|
|
|
0.08
|
|
|
663,467
|
|
|
691
|
|
|
0.10
|
|
||||||
Non-U.S. interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Banks located in non-U.S. countries
|
3,891
|
|
|
32
|
|
|
0.82
|
|
|
4,473
|
|
|
31
|
|
|
0.70
|
|
|
8,744
|
|
|
61
|
|
|
0.69
|
|
||||||
Governments and official institutions
|
1,437
|
|
|
9
|
|
|
0.64
|
|
|
1,492
|
|
|
5
|
|
|
0.33
|
|
|
1,740
|
|
|
2
|
|
|
0.14
|
|
||||||
Time, savings and other
|
59,183
|
|
|
382
|
|
|
0.65
|
|
|
54,767
|
|
|
288
|
|
|
0.53
|
|
|
60,729
|
|
|
326
|
|
|
0.54
|
|
||||||
Total non-U.S. interest-bearing deposits
|
64,511
|
|
|
423
|
|
|
0.66
|
|
|
60,732
|
|
|
324
|
|
|
0.53
|
|
|
71,213
|
|
|
389
|
|
|
0.55
|
|
||||||
Total interest-bearing deposits
|
785,226
|
|
|
1,015
|
|
|
0.13
|
|
|
735,018
|
|
|
861
|
|
|
0.12
|
|
|
734,680
|
|
|
1,080
|
|
|
0.15
|
|
||||||
Federal funds purchased, securities loaned or sold under agreements to repurchase and short-term borrowings
|
213,258
|
|
|
2,350
|
|
|
1.10
|
|
|
246,295
|
|
|
2,387
|
|
|
0.97
|
|
|
257,678
|
|
|
2,579
|
|
|
1.00
|
|
||||||
Trading account liabilities
|
72,779
|
|
|
1,018
|
|
|
1.40
|
|
|
76,772
|
|
|
1,343
|
|
|
1.75
|
|
|
87,152
|
|
|
1,576
|
|
|
1.81
|
|
||||||
Long-term debt
(7)
|
228,617
|
|
|
5,578
|
|
|
2.44
|
|
|
240,059
|
|
|
5,958
|
|
|
2.48
|
|
|
253,607
|
|
|
5,700
|
|
|
2.25
|
|
||||||
Total interest-bearing liabilities
(6)
|
1,299,880
|
|
|
9,961
|
|
|
0.77
|
|
|
1,298,144
|
|
|
10,549
|
|
|
0.81
|
|
|
1,333,117
|
|
|
10,935
|
|
|
0.82
|
|
||||||
Noninterest-bearing sources:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Noninterest-bearing deposits
|
437,335
|
|
|
|
|
|
|
|
|
420,842
|
|
|
|
|
|
|
|
|
389,527
|
|
|
|
|
|
|
|
||||||
Other liabilities
|
186,479
|
|
|
|
|
|
|
|
|
189,230
|
|
|
|
|
|
|
|
|
184,432
|
|
|
|
|
|
|
|
||||||
Shareholders’ equity
|
266,277
|
|
|
|
|
|
|
|
|
251,981
|
|
|
|
|
|
|
|
|
238,317
|
|
|
|
|
|
|
|
||||||
Total liabilities and shareholders’ equity
|
$
|
2,189,971
|
|
|
|
|
|
|
|
|
$
|
2,160,197
|
|
|
|
|
|
|
|
|
$
|
2,145,393
|
|
|
|
|
|
|
|
|||
Net interest spread
|
|
|
|
|
|
|
2.01
|
%
|
|
|
|
|
|
|
|
1.95
|
%
|
|
|
|
|
|
|
|
2.08
|
%
|
||||||
Impact of noninterest-bearing sources
|
|
|
|
|
|
|
0.24
|
|
|
|
|
|
|
|
|
0.24
|
|
|
|
|
|
|
|
|
0.22
|
|
||||||
Net interest income/yield on earning assets
|
|
|
|
$
|
41,996
|
|
|
2.25
|
%
|
|
|
|
|
$
|
39,847
|
|
|
2.19
|
%
|
|
|
|
|
$
|
41,630
|
|
|
2.30
|
%
|
(1)
|
Includes assets of the Corporation's non-U.S. consumer credit card business, which are included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(2)
|
Nonperforming loans are included in the respective average loan balances. Income on these nonperforming loans is generally recognized on a cost recovery basis. PCI loans were recorded at fair value upon acquisition and accrete interest income over the estimated life of the loan.
|
(3)
|
Includes non-U.S. consumer loans of
$3.4 billion
,
$4.0 billion
and
$4.4 billion
in
2016
,
2015
and
2014
, respectively.
|
(4)
|
Includes consumer finance loans of
$514 million
,
$619 million
and
$1.1 billion
; consumer leases of
$1.6 billion
,
$1.2 billion
and
$819 million
, and consumer overdrafts of
$173 million
,
$156 million
and
$149 million
in
2016
,
2015
and
2014
, respectively.
|
(5)
|
Includes U.S. commercial real estate loans of
$54.2 billion
,
$49.0 billion
and
$46.0 billion
, and non-U.S. commercial real estate loans of
$3.4 billion
,
$3.1 billion
and
$1.6 billion
in
2016
,
2015
and
2014
, respectively.
|
(6)
|
Interest income includes the impact of interest rate risk management contracts, which decreased interest income on the underlying assets by
$176 million
,
$59 million
and
$58 million
in
2016
,
2015
and
2014
, respectively. Interest expense includes the impact of interest rate risk management contracts, which decreased interest expense on the underlying liabilities by
$2.1 billion
,
$2.4 billion
and
$2.5 billion
in
2016
,
2015
and
2014
, respectively. For additional information, see
Interest Rate Risk Management for the Banking Book
on page
84
.
|
(7)
|
The yield on long-term debt excluding the
$612 million
adjustment related to the redemption of certain trust preferred securities was
2.23 percent
for 2015. For more information, see
Note 11 – Long-term Debt
to the Consolidated Financial Statements
. The yield on long-term debt excluding the adjustment is a non-GAAP financial measure.
|
94
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Table II
Analysis of Changes in Net Interest Income – FTE Basis
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
From 2015 to 2016
|
|
From 2014 to 2015
|
||||||||||||||||||||
|
Due to Change in
(1)
|
|
|
|
Due to Change in
(1)
|
|
|
||||||||||||||||
(Dollars in millions)
|
Volume
|
|
Rate
|
|
Net Change
|
|
Volume
|
|
Rate
|
|
Net Change
|
||||||||||||
Increase (decrease) in interest income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest-bearing deposits with the Federal Reserve, non-U.S. central banks and other banks
|
$
|
(9
|
)
|
|
$
|
245
|
|
|
$
|
236
|
|
|
$
|
60
|
|
|
$
|
1
|
|
|
$
|
61
|
|
Time deposits placed and other short-term investments
|
(8
|
)
|
|
2
|
|
|
(6
|
)
|
|
(23
|
)
|
|
(1
|
)
|
|
(24
|
)
|
||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
28
|
|
|
102
|
|
|
130
|
|
|
(45
|
)
|
|
(6
|
)
|
|
(51
|
)
|
||||||
Trading account assets
|
(265
|
)
|
|
281
|
|
|
16
|
|
|
(250
|
)
|
|
81
|
|
|
(169
|
)
|
||||||
Debt securities
|
722
|
|
|
(692
|
)
|
|
30
|
|
|
994
|
|
|
(812
|
)
|
|
182
|
|
||||||
Loans and leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
(454
|
)
|
|
(25
|
)
|
|
(479
|
)
|
|
(1,273
|
)
|
|
(222
|
)
|
|
(1,495
|
)
|
||||||
Home equity
|
(343
|
)
|
|
72
|
|
|
(271
|
)
|
|
(324
|
)
|
|
(32
|
)
|
|
(356
|
)
|
||||||
U.S. credit card
|
(33
|
)
|
|
118
|
|
|
85
|
|
|
(71
|
)
|
|
(157
|
)
|
|
(228
|
)
|
||||||
Non-U.S. credit card
|
(60
|
)
|
|
(65
|
)
|
|
(125
|
)
|
|
(147
|
)
|
|
(2
|
)
|
|
(149
|
)
|
||||||
Direct/Indirect consumer
|
174
|
|
|
82
|
|
|
256
|
|
|
58
|
|
|
(117
|
)
|
|
(59
|
)
|
||||||
Other consumer
|
10
|
|
|
9
|
|
|
19
|
|
|
(6
|
)
|
|
(77
|
)
|
|
(83
|
)
|
||||||
Total consumer
|
|
|
|
|
|
|
(515
|
)
|
|
|
|
|
|
|
|
(2,370
|
)
|
||||||
U.S. commercial
|
787
|
|
|
431
|
|
|
1,218
|
|
|
523
|
|
|
(270
|
)
|
|
253
|
|
||||||
Commercial real estate
|
159
|
|
|
93
|
|
|
252
|
|
|
137
|
|
|
(48
|
)
|
|
89
|
|
||||||
Commercial lease financing
|
42
|
|
|
(43
|
)
|
|
(1
|
)
|
|
19
|
|
|
(49
|
)
|
|
(30
|
)
|
||||||
Non-U.S. commercial
|
90
|
|
|
239
|
|
|
329
|
|
|
(20
|
)
|
|
(168
|
)
|
|
(188
|
)
|
||||||
Total commercial
|
|
|
|
|
|
|
1,798
|
|
|
|
|
|
|
|
|
124
|
|
||||||
Total loans and leases
|
|
|
|
|
|
|
1,283
|
|
|
|
|
|
|
|
|
(2,246
|
)
|
||||||
Other earning assets
|
(104
|
)
|
|
(24
|
)
|
|
(128
|
)
|
|
(175
|
)
|
|
253
|
|
|
78
|
|
||||||
Total interest income
|
|
|
|
|
|
|
$
|
1,561
|
|
|
|
|
|
|
|
|
$
|
(2,169
|
)
|
||||
Increase (decrease) in interest expense
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings
|
$
|
(2
|
)
|
|
$
|
—
|
|
|
$
|
(2
|
)
|
|
$
|
2
|
|
|
$
|
2
|
|
|
$
|
4
|
|
NOW and money market deposit accounts
|
22
|
|
|
(1
|
)
|
|
21
|
|
|
10
|
|
|
(53
|
)
|
|
(43
|
)
|
||||||
Consumer CDs and IRAs
|
(16
|
)
|
|
(13
|
)
|
|
(29
|
)
|
|
(45
|
)
|
|
(57
|
)
|
|
(102
|
)
|
||||||
Negotiable CDs, public funds and other deposits
|
10
|
|
|
55
|
|
|
65
|
|
|
(6
|
)
|
|
(7
|
)
|
|
(13
|
)
|
||||||
Total U.S. interest-bearing deposits
|
|
|
|
|
|
|
55
|
|
|
|
|
|
|
|
|
(154
|
)
|
||||||
Non-U.S. interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Banks located in non-U.S. countries
|
(4
|
)
|
|
5
|
|
|
1
|
|
|
(30
|
)
|
|
—
|
|
|
(30
|
)
|
||||||
Governments and official institutions
|
—
|
|
|
4
|
|
|
4
|
|
|
—
|
|
|
3
|
|
|
3
|
|
||||||
Time, savings and other
|
26
|
|
|
68
|
|
|
94
|
|
|
(30
|
)
|
|
(8
|
)
|
|
(38
|
)
|
||||||
Total non-U.S. interest-bearing deposits
|
|
|
|
|
|
|
99
|
|
|
|
|
|
|
|
|
(65
|
)
|
||||||
Total interest-bearing deposits
|
|
|
|
|
|
|
154
|
|
|
|
|
|
|
|
|
(219
|
)
|
||||||
Federal funds purchased, securities loaned or sold under agreements to repurchase and short-term borrowings
|
(318
|
)
|
|
281
|
|
|
(37
|
)
|
|
(116
|
)
|
|
(76
|
)
|
|
(192
|
)
|
||||||
Trading account liabilities
|
(69
|
)
|
|
(256
|
)
|
|
(325
|
)
|
|
(186
|
)
|
|
(47
|
)
|
|
(233
|
)
|
||||||
Long-term debt
|
(288
|
)
|
|
(92
|
)
|
|
(380
|
)
|
|
(299
|
)
|
|
557
|
|
|
258
|
|
||||||
Total interest expense
|
|
|
|
|
|
|
(588
|
)
|
|
|
|
|
|
|
|
(386
|
)
|
||||||
Net increase (decrease) in net interest income
|
|
|
|
|
|
|
$
|
2,149
|
|
|
|
|
|
|
|
|
$
|
(1,783
|
)
|
(1)
|
The changes for each category of interest income and expense are divided between the portion of change attributable to the variance in volume and the portion of change attributable to the variance in rate for that category. The unallocated change in rate or volume variance is allocated between the rate and volume variances.
|
|
|
Bank of America 2016
95
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Table III
Preferred Stock Cash Dividend Summary
(1)
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|||||||
Preferred Stock
|
|
Outstanding
Notional Amount
(in millions)
|
|
|
Declaration Date
|
|
Record Date
|
|
Payment Date
|
|
Per Annum
Dividend Rate
|
|
Dividend Per
Share
|
|||||
Series B
(2)
|
|
$
|
1
|
|
|
|
January 26, 2017
|
|
April 11, 2017
|
|
April 25, 2017
|
|
7.00
|
%
|
|
$
|
1.75
|
|
|
|
|
|
|
October 27, 2016
|
|
January 11, 2017
|
|
January 25, 2017
|
|
7.00
|
|
|
1.75
|
|
|||
|
|
|
|
|
July 27, 2016
|
|
October 11, 2016
|
|
October 25, 2016
|
|
7.00
|
|
|
1.75
|
|
|||
|
|
|
|
|
|
April 27, 2016
|
|
July 11, 2016
|
|
July 25, 2016
|
|
7.00
|
|
|
1.75
|
|
||
|
|
|
|
|
|
January 21, 2016
|
|
April 11, 2016
|
|
April 25, 2016
|
|
7.00
|
|
|
1.75
|
|
||
Series D
(3)
|
|
$
|
654
|
|
|
|
January 9, 2017
|
|
February 28, 2017
|
|
March 14, 2017
|
|
6.204
|
%
|
|
$
|
0.38775
|
|
|
|
|
|
|
|
October 10, 2016
|
|
November 30, 2016
|
|
December 14, 2016
|
|
6.204
|
|
|
0.38775
|
|
||
|
|
|
|
|
|
July 7, 2016
|
|
August 31, 2016
|
|
September 14, 2016
|
|
6.204
|
|
|
0.38775
|
|
||
|
|
|
|
|
April 15, 2016
|
|
May 31, 2016
|
|
June 14, 2016
|
|
6.204
|
|
|
0.38775
|
|
|||
|
|
|
|
|
January 11, 2016
|
|
February 29, 2016
|
|
March 14, 2016
|
|
6.204
|
|
|
0.38775
|
|
|||
Series E
(3)
|
|
$
|
317
|
|
|
|
January 9, 2017
|
|
January 31, 2017
|
|
February 15, 2017
|
|
Floating
|
|
|
$
|
0.25556
|
|
|
|
|
|
|
October 10, 2016
|
|
October 31, 2016
|
|
November 15, 2016
|
|
Floating
|
|
|
0.25556
|
|
|||
|
|
|
|
|
|
July 7, 2016
|
|
July 29, 2016
|
|
August 15, 2016
|
|
Floating
|
|
|
0.25556
|
|
||
|
|
|
|
|
April 15, 2016
|
|
April 29, 2016
|
|
May 16, 2016
|
|
Floating
|
|
|
0.25000
|
|
|||
|
|
|
|
|
January 11, 2016
|
|
January 29, 2016
|
|
February 16, 2016
|
|
Floating
|
|
|
0.25556
|
|
|||
Series F
|
|
$
|
141
|
|
|
|
January 9, 2017
|
|
February 28, 2017
|
|
March 15, 2017
|
|
Floating
|
|
|
$
|
1,000.00
|
|
|
|
|
|
|
October 10, 2016
|
|
November 30, 2016
|
|
December 15, 2016
|
|
Floating
|
|
|
1,011.11111
|
|
|||
|
|
|
|
|
July 7, 2016
|
|
August 31, 2016
|
|
September 15, 2016
|
|
Floating
|
|
|
1,022.22222
|
|
|||
|
|
|
|
|
April 15, 2016
|
|
May 31, 2016
|
|
June 15, 2016
|
|
Floating
|
|
|
1,022.22222
|
|
|||
|
|
|
|
|
January 11, 2016
|
|
February 29, 2016
|
|
March 15, 2016
|
|
Floating
|
|
|
1,011.11111
|
|
|||
Series G
|
|
$
|
493
|
|
|
|
January 9, 2017
|
|
February 28, 2017
|
|
March 15, 2017
|
|
Adjustable
|
|
|
$
|
1,000.00
|
|
|
|
|
|
|
October 10, 2016
|
|
November 30, 2016
|
|
December 15, 2016
|
|
Adjustable
|
|
|
1,011.11111
|
|
|||
|
|
|
|
|
July 7, 2016
|
|
August 31, 2016
|
|
September 15, 2016
|
|
Adjustable
|
|
|
1,022.22222
|
|
|||
|
|
|
|
|
April 15, 2016
|
|
May 31, 2016
|
|
June 15, 2016
|
|
Adjustable
|
|
|
1,022.22222
|
|
|||
|
|
|
|
|
January 11, 2016
|
|
February 29, 2016
|
|
March 15, 2016
|
|
Adjustable
|
|
|
1,011.11111
|
|
|||
Series I
(3)
|
|
$
|
365
|
|
|
|
January 9, 2017
|
|
March 15, 2017
|
|
April 3, 2017
|
|
6.625
|
%
|
|
$
|
0.4140625
|
|
|
|
|
|
|
|
October 10, 2016
|
|
December 15, 2016
|
|
January 3, 2017
|
|
6.625
|
|
|
0.4140625
|
|
||
|
|
|
|
|
|
July 7, 2016
|
|
September 15, 2016
|
|
October 3, 2016
|
|
6.625
|
|
|
0.4140625
|
|
||
|
|
|
|
|
|
April 15, 2016
|
|
June 15, 2016
|
|
July 1, 2016
|
|
6.625
|
|
|
0.4140625
|
|
||
|
|
|
|
|
|
January 11, 2016
|
|
March 15, 2016
|
|
April 1, 2016
|
|
6.625
|
|
|
0.4140625
|
|
||
Series K
(4, 5)
|
|
$
|
1,544
|
|
|
|
January 9, 2017
|
|
January 15, 2017
|
|
January 30, 2017
|
|
Fixed-to-floating
|
|
|
$
|
40.00
|
|
|
|
|
|
|
|
July 7, 2016
|
|
July 15, 2016
|
|
August 1, 2016
|
|
Fixed-to-floating
|
|
|
40.00
|
|
||
|
|
|
|
|
|
January 11, 2016
|
|
January 15, 2016
|
|
February 1, 2016
|
|
Fixed-to-floating
|
|
|
40.00
|
|
||
Series L
|
|
$
|
3,080
|
|
|
|
December 16, 2016
|
|
January 1, 2017
|
|
January 30, 2017
|
|
7.25
|
%
|
|
$
|
18.125
|
|
|
|
|
|
|
|
September 16, 2016
|
|
October 1, 2016
|
|
October 31, 2016
|
|
7.25
|
|
|
18.125
|
|
||
|
|
|
|
|
|
June 17, 2016
|
|
July 1, 2016
|
|
August 1, 2016
|
|
7.25
|
|
|
18.125
|
|
||
|
|
|
|
|
|
March 18, 2016
|
|
April 1, 2016
|
|
May 2, 2016
|
|
7.25
|
|
|
18.125
|
|
||
Series M
(4, 5)
|
|
$
|
1,310
|
|
|
|
October 10, 2016
|
|
October 31, 2016
|
|
November 15, 2016
|
|
Fixed-to-floating
|
|
|
$
|
40.625
|
|
|
|
|
|
|
|
April 15, 2016
|
|
April 30, 2016
|
|
May 16, 2016
|
|
Fixed-to-floating
|
|
|
40.625
|
|
||
Series T
|
|
$
|
5,000
|
|
|
|
January 26, 2017
|
|
March 26, 2017
|
|
April 10, 2017
|
|
6.00
|
%
|
|
$
|
1,500.00
|
|
|
|
|
|
|
October 27, 2016
|
|
December 26, 2016
|
|
January 10, 2017
|
|
6.00
|
|
|
1,500.00
|
|
|||
|
|
|
|
|
July 27, 2016
|
|
September 25, 2016
|
|
October 11, 2016
|
|
6.00
|
|
|
1,500.00
|
|
|||
|
|
|
|
|
April 27, 2016
|
|
June 25, 2016
|
|
July 11, 2016
|
|
6.00
|
|
|
1,500.00
|
|
|||
|
|
|
|
|
January 21, 2016
|
|
March 26, 2016
|
|
April 11, 2016
|
|
6.00
|
|
|
1,500.00
|
|
|||
Series U
(4, 5)
|
|
$
|
1,000
|
|
|
|
October 10, 2016
|
|
November 15, 2016
|
|
December 1, 2016
|
|
Fixed-to-floating
|
|
|
$
|
26.00
|
|
|
|
|
|
|
April 15, 2016
|
|
May 15, 2016
|
|
June 1, 2016
|
|
Fixed-to-floating
|
|
|
26.00
|
|
|||
Series V
(4, 5)
|
|
$
|
1,500
|
|
|
|
October 10, 2016
|
|
December 1, 2016
|
|
December 19, 2016
|
|
Fixed-to-floating
|
|
|
$
|
25.625
|
|
|
|
|
|
|
April 15, 2016
|
|
June 1, 2016
|
|
June 17, 2016
|
|
Fixed-to-floating
|
|
|
25.625
|
|
|||
Series W
(3)
|
|
$
|
1,100
|
|
|
|
January 9, 2017
|
|
February 15, 2017
|
|
March 9, 2017
|
|
6.625
|
%
|
|
$
|
0.4140625
|
|
|
|
|
|
|
October 10, 2016
|
|
November 15, 2016
|
|
December 9, 2016
|
|
6.625
|
|
|
0.4140625
|
|
|||
|
|
|
|
|
July 7, 2016
|
|
August 15, 2016
|
|
September 9, 2016
|
|
6.625
|
|
|
0.4140625
|
|
|||
|
|
|
|
|
April 15, 2016
|
|
May 15, 2016
|
|
June 9, 2016
|
|
6.625
|
|
|
0.4140625
|
|
|||
|
|
|
|
|
January 11, 2016
|
|
February 15, 2016
|
|
March 9, 2016
|
|
6.625
|
|
|
0.4140625
|
|
|||
Series X
(4, 5)
|
|
$
|
2,000
|
|
|
|
January 9, 2017
|
|
February 15, 2017
|
|
March 6, 2017
|
|
Fixed-to-floating
|
|
|
$
|
31.25
|
|
|
|
|
|
|
July 7, 2016
|
|
August 15, 2016
|
|
September 6, 2016
|
|
Fixed-to-floating
|
|
|
31.25
|
|
|||
|
|
|
|
|
January 11, 2016
|
|
February 15, 2016
|
|
March 7, 2016
|
|
Fixed-to-floating
|
|
|
31.25
|
|
|||
Series Y
(3)
|
|
$
|
1,100
|
|
|
|
December 16, 2016
|
|
January 1, 2017
|
|
January 27, 2017
|
|
6.50
|
%
|
|
$
|
0.40625
|
|
|
|
|
|
|
September 16, 2016
|
|
October 1, 2016
|
|
October 27, 2016
|
|
6.50
|
|
|
0.40625
|
|
|||
|
|
|
|
|
June 17, 2016
|
|
July 1, 2016
|
|
July 27, 2016
|
|
6.50
|
|
|
0.40625
|
|
|||
|
|
|
|
|
March 18, 2016
|
|
April 1, 2016
|
|
April 27, 2016
|
|
6.50
|
|
|
0.40625
|
|
|||
Series Z
(4, 5)
|
|
$
|
1,400
|
|
|
|
September 16, 2016
|
|
October 1, 2016
|
|
October 24, 2016
|
|
Fixed-to-floating
|
|
|
$
|
32.50
|
|
|
|
|
|
|
March 18, 2016
|
|
April 1, 2016
|
|
April 25, 2016
|
|
Fixed-to-floating
|
|
|
32.50
|
|
96
Bank of America 2016
|
|
|
(1)
|
Preferred stock cash dividend summary is as of
February 23, 2017
.
|
(2)
|
Dividends are cumulative.
|
(3)
|
Dividends per depositary share, each representing a 1/1,000
th
interest in a share of preferred stock.
|
(4)
|
Initially pays dividends semi-annually.
|
(5)
|
Dividends per depositary share, each representing a 1/25
th
interest in a share of preferred stock.
|
(6)
|
Dividends per depositary share, each representing a 1/1,200
th
interest in a share of preferred stock.
|
|
|
Bank of America 2016
97
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table IV
Outstanding Loans and Leases
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Consumer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential mortgage
(1)
|
$
|
191,797
|
|
|
$
|
187,911
|
|
|
$
|
216,197
|
|
|
$
|
248,066
|
|
|
$
|
252,929
|
|
Home equity
|
66,443
|
|
|
75,948
|
|
|
85,725
|
|
|
93,672
|
|
|
108,140
|
|
|||||
U.S. credit card
|
92,278
|
|
|
89,602
|
|
|
91,879
|
|
|
92,338
|
|
|
94,835
|
|
|||||
Non-U.S. credit card
|
9,214
|
|
|
9,975
|
|
|
10,465
|
|
|
11,541
|
|
|
11,697
|
|
|||||
Direct/Indirect consumer
(2)
|
94,089
|
|
|
88,795
|
|
|
80,381
|
|
|
82,192
|
|
|
83,205
|
|
|||||
Other consumer
(3)
|
2,499
|
|
|
2,067
|
|
|
1,846
|
|
|
1,977
|
|
|
1,628
|
|
|||||
Total consumer loans excluding loans accounted for under the fair value option
|
456,320
|
|
|
454,298
|
|
|
486,493
|
|
|
529,786
|
|
|
552,434
|
|
|||||
Consumer loans accounted for under the fair value option
(4)
|
1,051
|
|
|
1,871
|
|
|
2,077
|
|
|
2,164
|
|
|
1,005
|
|
|||||
Total consumer
|
457,371
|
|
|
456,169
|
|
|
488,570
|
|
|
531,950
|
|
|
553,439
|
|
|||||
Commercial
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. commercial
(5)
|
283,365
|
|
|
265,647
|
|
|
233,586
|
|
|
225,851
|
|
|
209,719
|
|
|||||
Commercial real estate
(6)
|
57,355
|
|
|
57,199
|
|
|
47,682
|
|
|
47,893
|
|
|
38,637
|
|
|||||
Commercial lease financing
|
22,375
|
|
|
21,352
|
|
|
19,579
|
|
|
25,199
|
|
|
23,843
|
|
|||||
Non-U.S. commercial
|
89,397
|
|
|
91,549
|
|
|
80,083
|
|
|
89,462
|
|
|
74,184
|
|
|||||
Total commercial loans excluding loans accounted for under the fair value option
|
452,492
|
|
|
435,747
|
|
|
380,930
|
|
|
388,405
|
|
|
346,383
|
|
|||||
Commercial loans accounted for under the fair value option
(4)
|
6,034
|
|
|
5,067
|
|
|
6,604
|
|
|
7,878
|
|
|
7,997
|
|
|||||
Total commercial
|
458,526
|
|
|
440,814
|
|
|
387,534
|
|
|
396,283
|
|
|
354,380
|
|
|||||
Less: Loans of business held for sale
(7)
|
(9,214
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total loans and leases
|
$
|
906,683
|
|
|
$
|
896,983
|
|
|
$
|
876,104
|
|
|
$
|
928,233
|
|
|
$
|
907,819
|
|
(1)
|
Includes pay option loans of
$1.8 billion
,
$2.3 billion
,
$3.2 billion
,
$4.4 billion
and
$6.7 billion
, and non-U.S. residential mortgage loans of
$2 million
,
$2 million
,
$2 million
,
$0
and
$93 million
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively. The Corporation no longer originates pay option loans.
|
(2)
|
Includes auto and specialty lending loans of
$48.9 billion
,
$42.6 billion
,
$37.7 billion
,
$38.5 billion
and
$35.9 billion
, unsecured consumer lending loans of
$585 million
,
$886 million
,
$1.5 billion
,
$2.7 billion
and
$4.7 billion
, U.S. securities-based lending loans of
$40.1 billion
,
$39.8 billion
,
$35.8 billion
,
$31.2 billion
and
$28.3 billion
, non-U.S. consumer loans of
$3.0 billion
,
$3.9 billion
,
$4.0 billion
,
$4.7 billion
and
$8.3 billion
, student loans of
$497 million
,
$564 million
,
$632 million
,
$4.1 billion
and
$4.8 billion
, and other consumer loans of
$1.1 billion
,
$1.0 billion
,
$761 million
,
$1.0 billion
and
$1.2 billion
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(3)
|
Includes consumer finance loans of
$465 million
,
$564 million
,
$676 million
,
$1.2 billion
and
$1.4 billion
, consumer leases of
$1.9 billion
,
$1.4 billion
,
$1.0 billion
,
$606 million
and
$34 million
, and consumer overdrafts of
$157 million
,
$146 million
,
$162 million
,
$176 million
and
$177 million
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(4)
|
Consumer loans accounted for under the fair value option were residential mortgage loans of
$710 million
,
$1.6 billion
,
$1.9 billion
,
$2.0 billion
and
$1.0 billion
, and home equity loans of
$341 million
,
$250 million
,
$196 million
,
$147 million
and
$0
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively. Commercial loans accounted for under the fair value option were U.S. commercial loans of
$2.9 billion
,
$2.3 billion
,
$1.9 billion
,
$1.5 billion
and
$2.3 billion
, and non-U.S. commercial loans of
$3.1 billion
,
$2.8 billion
,
$4.7 billion
,
$6.4 billion
and
$5.7 billion
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(5)
|
Includes U.S. small business commercial loans, including card-related products, of
$13.0 billion
,
$12.9 billion
,
$13.3 billion
,
$13.3 billion
and
$12.6 billion
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(6)
|
Includes U.S. commercial real estate loans of
$54.3 billion
,
$53.6 billion
,
$45.2 billion
,
$46.3 billion
and
$37.2 billion
, and non-U.S. commercial real estate loans of
$3.1 billion
,
$3.5 billion
,
$2.5 billion
,
$1.6 billion
and
$1.5 billion
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(7)
|
Represents non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet.
|
98
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table V
Nonperforming Loans, Leases and Foreclosed Properties
(1)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Consumer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential mortgage
|
$
|
3,056
|
|
|
$
|
4,803
|
|
|
$
|
6,889
|
|
|
$
|
11,712
|
|
|
$
|
15,055
|
|
Home equity
|
2,918
|
|
|
3,337
|
|
|
3,901
|
|
|
4,075
|
|
|
4,282
|
|
|||||
Direct/Indirect consumer
|
28
|
|
|
24
|
|
|
28
|
|
|
35
|
|
|
92
|
|
|||||
Other consumer
|
2
|
|
|
1
|
|
|
1
|
|
|
18
|
|
|
2
|
|
|||||
Total consumer
(2)
|
6,004
|
|
|
8,165
|
|
|
10,819
|
|
|
15,840
|
|
|
19,431
|
|
|||||
Commercial
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. commercial
|
1,256
|
|
|
867
|
|
|
701
|
|
|
819
|
|
|
1,484
|
|
|||||
Commercial real estate
|
72
|
|
|
93
|
|
|
321
|
|
|
322
|
|
|
1,513
|
|
|||||
Commercial lease financing
|
36
|
|
|
12
|
|
|
3
|
|
|
16
|
|
|
44
|
|
|||||
Non-U.S. commercial
|
279
|
|
|
158
|
|
|
1
|
|
|
64
|
|
|
68
|
|
|||||
|
1,643
|
|
|
1,130
|
|
|
1,026
|
|
|
1,221
|
|
|
3,109
|
|
|||||
U.S. small business commercial
|
60
|
|
|
82
|
|
|
87
|
|
|
88
|
|
|
115
|
|
|||||
Total commercial
(3)
|
1,703
|
|
|
1,212
|
|
|
1,113
|
|
|
1,309
|
|
|
3,224
|
|
|||||
Total nonperforming loans and leases
|
7,707
|
|
|
9,377
|
|
|
11,932
|
|
|
17,149
|
|
|
22,655
|
|
|||||
Foreclosed properties
|
377
|
|
|
459
|
|
|
697
|
|
|
623
|
|
|
900
|
|
|||||
Total nonperforming loans, leases and foreclosed properties
|
$
|
8,084
|
|
|
$
|
9,836
|
|
|
$
|
12,629
|
|
|
$
|
17,772
|
|
|
$
|
23,555
|
|
(1)
|
Balances do not include PCI loans even though the customer may be contractually past due. PCI loans were recorded at fair value upon acquisition and accrete interest income over the remaining life of the loan. In addition, balances do not include foreclosed properties insured by certain government-guaranteed loans, principally FHA-insured loans, that entered foreclosure of
$1.2 billion
,
$1.4 billion
,
$1.1 billion
,
$1.4 billion
and
$2.5 billion
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(2)
|
In
2016
,
$1.0 billion
in interest income was estimated to be contractually due on
$6.0 billion
of consumer loans and leases classified as nonperforming at
December 31, 2016
, as presented in the table above, plus
$12.5 billion
of TDRs classified as performing at
December 31, 2016
. Approximately
$653 million
of the estimated
$1.0 billion
in contractual interest was received and included in interest income for
2016
.
|
(3)
|
In
2016
,
$185 million
in interest income was estimated to be contractually due on
$1.7 billion
of commercial loans and leases classified as nonperforming at
December 31, 2016
, as presented in the table above, plus
$1.5 billion
of TDRs classified as performing at
December 31, 2016
. Approximately
$105 million
of the estimated
$185 million
in contractual interest was received and included in interest income for
2016
.
|
|
|
Bank of America 2016
99
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table VI
Accruing Loans and Leases Past Due 90 Days or More
(1)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Consumer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential mortgage
(2)
|
$
|
4,793
|
|
|
$
|
7,150
|
|
|
$
|
11,407
|
|
|
$
|
16,961
|
|
|
$
|
22,157
|
|
U.S. credit card
|
782
|
|
|
789
|
|
|
866
|
|
|
1,053
|
|
|
1,437
|
|
|||||
Non-U.S. credit card
|
66
|
|
|
76
|
|
|
95
|
|
|
131
|
|
|
212
|
|
|||||
Direct/Indirect consumer
|
34
|
|
|
39
|
|
|
64
|
|
|
408
|
|
|
545
|
|
|||||
Other consumer
|
4
|
|
|
3
|
|
|
1
|
|
|
2
|
|
|
2
|
|
|||||
Total consumer
|
5,679
|
|
|
8,057
|
|
|
12,433
|
|
|
18,555
|
|
|
24,353
|
|
|||||
Commercial
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. commercial
|
106
|
|
|
113
|
|
|
110
|
|
|
47
|
|
|
65
|
|
|||||
Commercial real estate
|
7
|
|
|
3
|
|
|
3
|
|
|
21
|
|
|
29
|
|
|||||
Commercial lease financing
|
19
|
|
|
15
|
|
|
40
|
|
|
41
|
|
|
15
|
|
|||||
Non-U.S. commercial
|
5
|
|
|
1
|
|
|
—
|
|
|
17
|
|
|
—
|
|
|||||
|
137
|
|
|
132
|
|
|
153
|
|
|
126
|
|
|
109
|
|
|||||
U.S. small business commercial
|
71
|
|
|
61
|
|
|
67
|
|
|
78
|
|
|
120
|
|
|||||
Total commercial
|
208
|
|
|
193
|
|
|
220
|
|
|
204
|
|
|
229
|
|
|||||
Total accruing loans and leases past due 90 days or more
(3)
|
$
|
5,887
|
|
|
$
|
8,250
|
|
|
$
|
12,653
|
|
|
$
|
18,759
|
|
|
$
|
24,582
|
|
(1)
|
Our policy is to classify consumer real estate-secured loans as nonperforming at 90 days past due, except the PCI loan portfolio, the fully-insured loan portfolio and loans accounted for under the fair value option as referenced in footnote 3.
|
(2)
|
Balances are fully-insured loans.
|
(3)
|
Balances exclude loans accounted for under the fair value option. At
December 31, 2016
,
2015
,
2014
, and
2013
$1 million, $1 million, $5 million and $8 million of loans accounted for under the fair value option were past due 90 days or more and still accruing interest. At December 31,
2012
, there were no loans accounted for under the fair value option that were past due 90 days or more and still accruing interest.
|
100
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table VII
Allowance for Credit Losses
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Allowance for loan and lease losses, January 1
|
$
|
12,234
|
|
|
$
|
14,419
|
|
|
$
|
17,428
|
|
|
$
|
24,179
|
|
|
$
|
33,783
|
|
Loans and leases charged off
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Residential mortgage
|
(403
|
)
|
|
(866
|
)
|
|
(855
|
)
|
|
(1,508
|
)
|
|
(3,276
|
)
|
|||||
Home equity
|
(752
|
)
|
|
(975
|
)
|
|
(1,364
|
)
|
|
(2,258
|
)
|
|
(4,573
|
)
|
|||||
U.S. credit card
|
(2,691
|
)
|
|
(2,738
|
)
|
|
(3,068
|
)
|
|
(4,004
|
)
|
|
(5,360
|
)
|
|||||
Non-U.S. credit card
|
(238
|
)
|
|
(275
|
)
|
|
(357
|
)
|
|
(508
|
)
|
|
(835
|
)
|
|||||
Direct/Indirect consumer
|
(392
|
)
|
|
(383
|
)
|
|
(456
|
)
|
|
(710
|
)
|
|
(1,258
|
)
|
|||||
Other consumer
|
(232
|
)
|
|
(224
|
)
|
|
(268
|
)
|
|
(273
|
)
|
|
(274
|
)
|
|||||
Total consumer charge-offs
|
(4,708
|
)
|
|
(5,461
|
)
|
|
(6,368
|
)
|
|
(9,261
|
)
|
|
(15,576
|
)
|
|||||
U.S. commercial
(1)
|
(567
|
)
|
|
(536
|
)
|
|
(584
|
)
|
|
(774
|
)
|
|
(1,309
|
)
|
|||||
Commercial real estate
|
(10
|
)
|
|
(30
|
)
|
|
(29
|
)
|
|
(251
|
)
|
|
(719
|
)
|
|||||
Commercial lease financing
|
(30
|
)
|
|
(19
|
)
|
|
(10
|
)
|
|
(4
|
)
|
|
(32
|
)
|
|||||
Non-U.S. commercial
|
(133
|
)
|
|
(59
|
)
|
|
(35
|
)
|
|
(79
|
)
|
|
(36
|
)
|
|||||
Total commercial charge-offs
|
(740
|
)
|
|
(644
|
)
|
|
(658
|
)
|
|
(1,108
|
)
|
|
(2,096
|
)
|
|||||
Total loans and leases charged off
|
(5,448
|
)
|
|
(6,105
|
)
|
|
(7,026
|
)
|
|
(10,369
|
)
|
|
(17,672
|
)
|
|||||
Recoveries of loans and leases previously charged off
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Residential mortgage
|
272
|
|
|
393
|
|
|
969
|
|
|
424
|
|
|
165
|
|
|||||
Home equity
|
347
|
|
|
339
|
|
|
457
|
|
|
455
|
|
|
331
|
|
|||||
U.S. credit card
|
422
|
|
|
424
|
|
|
430
|
|
|
628
|
|
|
728
|
|
|||||
Non-U.S. credit card
|
63
|
|
|
87
|
|
|
115
|
|
|
109
|
|
|
254
|
|
|||||
Direct/Indirect consumer
|
258
|
|
|
271
|
|
|
287
|
|
|
365
|
|
|
495
|
|
|||||
Other consumer
|
27
|
|
|
31
|
|
|
39
|
|
|
39
|
|
|
42
|
|
|||||
Total consumer recoveries
|
1,389
|
|
|
1,545
|
|
|
2,297
|
|
|
2,020
|
|
|
2,015
|
|
|||||
U.S. commercial
(2)
|
175
|
|
|
172
|
|
|
214
|
|
|
287
|
|
|
368
|
|
|||||
Commercial real estate
|
41
|
|
|
35
|
|
|
112
|
|
|
102
|
|
|
335
|
|
|||||
Commercial lease financing
|
9
|
|
|
10
|
|
|
19
|
|
|
29
|
|
|
38
|
|
|||||
Non-U.S. commercial
|
13
|
|
|
5
|
|
|
1
|
|
|
34
|
|
|
8
|
|
|||||
Total commercial recoveries
|
238
|
|
|
222
|
|
|
346
|
|
|
452
|
|
|
749
|
|
|||||
Total recoveries of loans and leases previously charged off
|
1,627
|
|
|
1,767
|
|
|
2,643
|
|
|
2,472
|
|
|
2,764
|
|
|||||
Net charge-offs
|
(3,821
|
)
|
|
(4,338
|
)
|
|
(4,383
|
)
|
|
(7,897
|
)
|
|
(14,908
|
)
|
|||||
Write-offs of PCI loans
|
(340
|
)
|
|
(808
|
)
|
|
(810
|
)
|
|
(2,336
|
)
|
|
(2,820
|
)
|
|||||
Provision for loan and lease losses
|
3,581
|
|
|
3,043
|
|
|
2,231
|
|
|
3,574
|
|
|
8,310
|
|
|||||
Other
(3)
|
(174
|
)
|
|
(82
|
)
|
|
(47
|
)
|
|
(92
|
)
|
|
(186
|
)
|
|||||
Allowance for loan and lease losses, December 31
|
11,480
|
|
|
12,234
|
|
|
14,419
|
|
|
17,428
|
|
|
24,179
|
|
|||||
Less: Allowance included in assets of business held for sale
(4)
|
(243
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Total allowance for loan and lease losses, December 31
|
11,237
|
|
|
12,234
|
|
|
14,419
|
|
|
17,428
|
|
|
24,179
|
|
|||||
Reserve for unfunded lending commitments, January 1
|
646
|
|
|
528
|
|
|
484
|
|
|
513
|
|
|
714
|
|
|||||
Provision for unfunded lending commitments
|
16
|
|
|
118
|
|
|
44
|
|
|
(18
|
)
|
|
(141
|
)
|
|||||
Other
(3)
|
100
|
|
|
—
|
|
|
—
|
|
|
(11
|
)
|
|
(60
|
)
|
|||||
Reserve for unfunded lending commitments, December 31
|
762
|
|
|
646
|
|
|
528
|
|
|
484
|
|
|
513
|
|
|||||
Allowance for credit losses, December 31
|
$
|
11,999
|
|
|
$
|
12,880
|
|
|
$
|
14,947
|
|
|
$
|
17,912
|
|
|
$
|
24,692
|
|
(1)
|
Includes U.S. small business commercial charge-offs of
$253 million
,
$282 million
,
$345 million
,
$457 million
and
$799 million
in
2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(2)
|
Includes U.S. small business commercial recoveries of
$45 million
,
$57 million
,
$63 million
,
$98 million
and
$100 million
in
2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(3)
|
Primarily represents the net impact of portfolio sales, consolidations and deconsolidations, foreign currency translation adjustments and certain other reclassifications.
|
(4)
|
Represents allowance for loan and lease losses related to the non-U.S. credit card loan portfolio, which is included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
|
|
Bank of America 2016
101
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table VII
Allowance for Credit Losses (continued)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Loan and allowance ratios
(5)
:
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans and leases outstanding at December 31
(6)
|
$
|
908,812
|
|
|
$
|
890,045
|
|
|
$
|
867,422
|
|
|
$
|
918,191
|
|
|
$
|
898,817
|
|
Allowance for loan and lease losses as a percentage of total loans and leases outstanding at December 31
(6)
|
1.26
|
%
|
|
1.37
|
%
|
|
1.66
|
%
|
|
1.90
|
%
|
|
2.69
|
%
|
|||||
Consumer allowance for loan and lease losses as a percentage of total consumer loans and leases outstanding at December 31
(7)
|
1.36
|
|
|
1.63
|
|
|
2.05
|
|
|
2.53
|
|
|
3.81
|
|
|||||
Commercial allowance for loan and lease losses as a percentage of total commercial loans and leases outstanding at December 31
(8)
|
1.16
|
|
|
1.11
|
|
|
1.16
|
|
|
1.03
|
|
|
0.90
|
|
|||||
Average loans and leases outstanding
(6)
|
$
|
892,255
|
|
|
$
|
869,065
|
|
|
$
|
888,804
|
|
|
$
|
909,127
|
|
|
$
|
890,337
|
|
Net charge-offs as a percentage of average loans and leases outstanding
(6, 9)
|
0.43
|
%
|
|
0.50
|
%
|
|
0.49
|
%
|
|
0.87
|
%
|
|
1.67
|
%
|
|||||
Net charge-offs and PCI write-offs as a percentage of average loans and leases outstanding
(6)
|
0.47
|
|
|
0.59
|
|
|
0.58
|
|
|
1.13
|
|
|
1.99
|
|
|||||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases at December 31
(6, 10)
|
149
|
|
|
130
|
|
|
121
|
|
|
102
|
|
|
107
|
|
|||||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs
(9)
|
3.00
|
|
|
2.82
|
|
|
3.29
|
|
|
2.21
|
|
|
1.62
|
|
|||||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs and PCI write-offs
|
2.76
|
|
|
2.38
|
|
|
2.78
|
|
|
1.70
|
|
|
1.36
|
|
|||||
Amounts included in allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases at December 31
(11)
|
$
|
3,951
|
|
|
$
|
4,518
|
|
|
$
|
5,944
|
|
|
$
|
7,680
|
|
|
$
|
12,021
|
|
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases, excluding the allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases at December 31
(6, 11)
|
98
|
%
|
|
82
|
%
|
|
71
|
%
|
|
57
|
%
|
|
54
|
%
|
|||||
Loan and allowance ratios excluding PCI loans and the related valuation allowance:
(5, 12)
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Allowance for loan and lease losses as a percentage of total loans and leases outstanding at December 31
(6)
|
1.24
|
%
|
|
1.31
|
%
|
|
1.51
|
%
|
|
1.67
|
%
|
|
2.14
|
%
|
|||||
Consumer allowance for loan and lease losses as a percentage of total consumer loans and leases outstanding at December 31
(7)
|
1.31
|
|
|
1.50
|
|
|
1.79
|
|
|
2.17
|
|
|
2.95
|
|
|||||
Net charge-offs as a percentage of average loans and leases outstanding
(6)
|
0.44
|
|
|
0.51
|
|
|
0.50
|
|
|
0.90
|
|
|
1.73
|
|
|||||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases at December 31
(6, 10)
|
144
|
|
|
122
|
|
|
107
|
|
|
87
|
|
|
82
|
|
|||||
Ratio of the allowance for loan and lease losses at December 31 to net charge-offs
|
2.89
|
|
|
2.64
|
|
|
2.91
|
|
|
1.89
|
|
|
1.25
|
|
(5)
|
Loan and allowance ratios include $243 million of non-U.S. credit card allowance for loan and lease losses and $9.2 billion of ending non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(6)
|
Outstanding loan and lease balances and ratios do not include loans accounted for under the fair value option of
$7.1 billion
,
$6.9 billion
, $8.7 billion, $10.0 billion and $9.0 billion at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively. Average loans accounted for under the fair value option were
$8.2 billion
,
$7.7 billion
, $9.9 billion, $9.5 billion and $8.4 billion in
2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(7)
|
Excludes consumer loans accounted for under the fair value option of
$1.1 billion
,
$1.9 billion
, $2.1 billion, $2.2 billion and $1.0 billion at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(8)
|
Excludes commercial loans accounted for under the fair value option of
$6.0 billion
,
$5.1 billion
, $6.6 billion, $7.9 billion and $8.0 billion at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(9)
|
Net charge-offs exclude
$340 million
,
$808 million
, $810 million, $2.3 billion and $2.8 billion of write-offs in the PCI loan portfolio in
2016
,
2015
,
2014
,
2013
and
2012
respectively. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(10)
|
For more information on our definition of nonperforming loans, see pages
64
and
70
.
|
(11)
|
Primarily includes amounts allocated to U.S. credit card and unsecured consumer lending portfolios in
Consumer Banking
, PCI loans and the non-U.S. credit portfolio in
All Other
.
|
(12)
|
For more information on the PCI loan portfolio and the valuation allowance for PCI loans, see
Note 4 – Outstanding Loans and Leases
and
Note 5 – Allowance for Credit Losses
to the Consolidated Financial Statements
.
|
102
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Table VIII
Allocation of the Allowance for Credit Losses by Product Type
|
||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
December 31
|
|||||||||||||||||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|||||||||||||||||||||||||
(Dollars in millions)
|
Amount
|
|
Percent
of Total
|
|
Amount
|
|
Percent
of Total
|
|
Amount
|
|
Percent
of Total
|
|
Amount
|
|
Percent
of Total
|
|
Amount
|
|
Percent
of Total
|
|||||||||||||||
Allowance for loan and lease losses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential mortgage
|
$
|
1,012
|
|
|
8.82
|
%
|
|
$
|
1,500
|
|
|
12.26
|
%
|
|
$
|
2,900
|
|
|
20.11
|
%
|
|
$
|
4,084
|
|
|
23.43
|
%
|
|
$
|
7,088
|
|
|
29.31
|
%
|
Home equity
|
1,738
|
|
|
15.14
|
|
|
2,414
|
|
|
19.73
|
|
|
3,035
|
|
|
21.05
|
|
|
4,434
|
|
|
25.44
|
|
|
7,845
|
|
|
32.45
|
|
|||||
U.S. credit card
|
2,934
|
|
|
25.56
|
|
|
2,927
|
|
|
23.93
|
|
|
3,320
|
|
|
23.03
|
|
|
3,930
|
|
|
22.55
|
|
|
4,718
|
|
|
19.51
|
|
|||||
Non-U.S. credit card
|
243
|
|
|
2.12
|
|
|
274
|
|
|
2.24
|
|
|
369
|
|
|
2.56
|
|
|
459
|
|
|
2.63
|
|
|
600
|
|
|
2.48
|
|
|||||
Direct/Indirect consumer
|
244
|
|
|
2.13
|
|
|
223
|
|
|
1.82
|
|
|
299
|
|
|
2.07
|
|
|
417
|
|
|
2.39
|
|
|
718
|
|
|
2.97
|
|
|||||
Other consumer
|
51
|
|
|
0.44
|
|
|
47
|
|
|
0.38
|
|
|
59
|
|
|
0.41
|
|
|
99
|
|
|
0.58
|
|
|
104
|
|
|
0.43
|
|
|||||
Total consumer
|
6,222
|
|
|
54.21
|
|
|
7,385
|
|
|
60.36
|
|
|
9,982
|
|
|
69.23
|
|
|
13,423
|
|
|
77.02
|
|
|
21,073
|
|
|
87.15
|
|
|||||
U.S. commercial
(1)
|
3,326
|
|
|
28.97
|
|
|
2,964
|
|
|
24.23
|
|
|
2,619
|
|
|
18.16
|
|
|
2,394
|
|
|
13.74
|
|
|
1,885
|
|
|
7.80
|
|
|||||
Commercial real estate
|
920
|
|
|
8.01
|
|
|
967
|
|
|
7.90
|
|
|
1,016
|
|
|
7.05
|
|
|
917
|
|
|
5.26
|
|
|
846
|
|
|
3.50
|
|
|||||
Commercial lease financing
|
138
|
|
|
1.20
|
|
|
164
|
|
|
1.34
|
|
|
153
|
|
|
1.06
|
|
|
118
|
|
|
0.68
|
|
|
78
|
|
|
0.32
|
|
|||||
Non-U.S. commercial
|
874
|
|
|
7.61
|
|
|
754
|
|
|
6.17
|
|
|
649
|
|
|
4.50
|
|
|
576
|
|
|
3.30
|
|
|
297
|
|
|
1.23
|
|
|||||
Total commercial
(2)
|
5,258
|
|
|
45.79
|
|
|
4,849
|
|
|
39.64
|
|
|
4,437
|
|
|
30.77
|
|
|
4,005
|
|
|
22.98
|
|
|
3,106
|
|
|
12.85
|
|
|||||
Allowance for loan and lease losses
(3)
|
11,480
|
|
|
100.00
|
%
|
|
12,234
|
|
|
100.00
|
%
|
|
14,419
|
|
|
100.00
|
%
|
|
17,428
|
|
|
100.00
|
%
|
|
24,179
|
|
|
100.00
|
%
|
|||||
Less: Allowance included in assets of business held for sale
(4)
|
(243
|
)
|
|
|
|
—
|
|
|
|
|
—
|
|
|
|
|
—
|
|
|
|
|
—
|
|
|
|
||||||||||
Total allowance for loan and lease losses
|
11,237
|
|
|
|
|
12,234
|
|
|
|
|
14,419
|
|
|
|
|
17,428
|
|
|
|
|
24,179
|
|
|
|
||||||||||
Reserve for unfunded lending commitments
|
762
|
|
|
|
|
646
|
|
|
|
|
|
528
|
|
|
|
|
484
|
|
|
|
|
513
|
|
|
|
|||||||||
Allowance for credit losses
|
$
|
11,999
|
|
|
|
|
$
|
12,880
|
|
|
|
|
|
$
|
14,947
|
|
|
|
|
$
|
17,912
|
|
|
|
|
$
|
24,692
|
|
|
|
(1)
|
Includes allowance for loan and lease losses for U.S. small business commercial loans of
$416 million
,
$507 million
,
$536 million
,
$462 million
and
$642 million
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(2)
|
Includes allowance for loan and lease losses for impaired commercial loans of
$273 million
,
$217 million
,
$159 million
,
$277 million
and
$475 million
at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(3)
|
Includes
$419 million
,
$804 million
,
$1.7 billion
,
$2.5 billion
and
$5.5 billion
of valuation allowance presented with the allowance for loan and lease losses related to PCI loans at
December 31, 2016
,
2015
,
2014
,
2013
and
2012
, respectively.
|
(4)
|
Represents allowance for loan and lease losses related to the non-U.S. credit card loan portfolio, which is included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
|
|
Bank of America 2016
103
|
|
|
|
|
|
|
|
|
||||||||
Table IX
Selected Loan Maturity Data
(1, 2)
|
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2016
|
||||||||||||||
(Dollars in millions)
|
Due in One
Year or Less
|
|
Due After
One Year Through
Five Years
|
|
Due After
Five Years
|
|
Total
|
||||||||
U.S. commercial
|
$
|
74,191
|
|
|
$
|
167,670
|
|
|
$
|
44,424
|
|
|
$
|
286,285
|
|
U.S. commercial real estate
|
11,555
|
|
|
38,826
|
|
|
3,871
|
|
|
54,252
|
|
||||
Non-U.S. and other
(3)
|
33,971
|
|
|
53,270
|
|
|
8,373
|
|
|
95,614
|
|
||||
Total selected loans
|
$
|
119,717
|
|
|
$
|
259,766
|
|
|
$
|
56,668
|
|
|
$
|
436,151
|
|
Percent of total
|
27
|
%
|
|
60
|
%
|
|
13
|
%
|
|
100
|
%
|
||||
Sensitivity of selected loans to changes in interest rates for loans due after one year:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Fixed interest rates
|
|
|
|
$
|
17,396
|
|
|
$
|
25,636
|
|
|
|
|
||
Floating or adjustable interest rates
|
|
|
|
242,370
|
|
|
31,032
|
|
|
|
|
||||
Total
|
|
|
|
$
|
259,766
|
|
|
$
|
56,668
|
|
|
|
|
(1)
|
Loan maturities are based on the remaining maturities under contractual terms.
|
(2)
|
Includes loans accounted for under the fair value option.
|
(3)
|
Loan maturities include non-U.S. commercial and commercial real estate loans.
|
|
|
|
|
||||
Table X
Non-exchange Traded Commodity Related Contracts
|
|||||||
|
|
|
|
||||
|
2016
|
||||||
(Dollars in millions)
|
Asset
Positions
|
|
Liability
Positions
|
||||
Net fair value of contracts outstanding, January 1, 2016
|
$
|
8,299
|
|
|
$
|
7,313
|
|
Effect of legally enforceable master netting agreements
|
3,244
|
|
|
3,244
|
|
||
Gross fair value of contracts outstanding, January 1, 2016
|
11,543
|
|
|
10,557
|
|
||
Contracts realized or otherwise settled
|
(5,420
|
)
|
|
(5,853
|
)
|
||
Fair value of new contracts
|
2,421
|
|
|
2,210
|
|
||
Other changes in fair value
|
(1,323
|
)
|
|
(482
|
)
|
||
Gross fair value of contracts outstanding, December 31, 2016
|
7,221
|
|
|
6,432
|
|
||
Less: Legally enforceable master netting agreements
|
(1,480
|
)
|
|
(1,480
|
)
|
||
Net fair value of contracts outstanding, December 31, 2016
|
$
|
5,741
|
|
|
$
|
4,952
|
|
|
|
|
|
||||
Table XI
Non-exchange Traded Commodity Related Contract Maturities
|
|||||||
|
|
|
|
||||
|
2016
|
||||||
(Dollars in millions)
|
Asset
Positions |
|
Liability
Positions |
||||
Less than one year
|
$
|
2,727
|
|
|
$
|
2,931
|
|
Greater than or equal to one year and less than three years
|
1,418
|
|
|
1,219
|
|
||
Greater than or equal to three years and less than five years
|
625
|
|
|
554
|
|
||
Greater than or equal to five years
|
2,451
|
|
|
1,728
|
|
||
Gross fair value of contracts outstanding
|
7,221
|
|
|
6,432
|
|
||
Less: Legally enforceable master netting agreements
|
(1,480
|
)
|
|
(1,480
|
)
|
||
Net fair value of contracts outstanding
|
$
|
5,741
|
|
|
$
|
4,952
|
|
104
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Table XII
Selected Quarterly Financial Data
|
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
2016 Quarters
|
|
2015 Quarters
|
||||||||||||||||||||||||||||
(In millions, except per share information)
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
||||||||||||||||
Income statement
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net interest income
|
$
|
10,292
|
|
|
$
|
10,201
|
|
|
$
|
10,118
|
|
|
$
|
10,485
|
|
|
$
|
9,686
|
|
|
$
|
9,900
|
|
|
$
|
9,517
|
|
|
$
|
9,855
|
|
Noninterest income
|
9,698
|
|
|
11,434
|
|
|
11,168
|
|
|
10,305
|
|
|
9,896
|
|
|
11,092
|
|
|
11,523
|
|
|
11,496
|
|
||||||||
Total revenue, net of interest expense
|
19,990
|
|
|
21,635
|
|
|
21,286
|
|
|
20,790
|
|
|
19,582
|
|
|
20,992
|
|
|
21,040
|
|
|
21,351
|
|
||||||||
Provision for credit losses
|
774
|
|
|
850
|
|
|
976
|
|
|
997
|
|
|
810
|
|
|
806
|
|
|
780
|
|
|
765
|
|
||||||||
Noninterest expense
|
13,161
|
|
|
13,481
|
|
|
13,493
|
|
|
14,816
|
|
|
14,010
|
|
|
13,939
|
|
|
13,959
|
|
|
15,826
|
|
||||||||
Income before income taxes
|
6,055
|
|
|
7,304
|
|
|
6,817
|
|
|
4,977
|
|
|
4,762
|
|
|
6,247
|
|
|
6,301
|
|
|
4,760
|
|
||||||||
Income tax expense
|
1,359
|
|
|
2,349
|
|
|
2,034
|
|
|
1,505
|
|
|
1,478
|
|
|
1,628
|
|
|
1,736
|
|
|
1,392
|
|
||||||||
Net income
|
4,696
|
|
|
4,955
|
|
|
4,783
|
|
|
3,472
|
|
|
3,284
|
|
|
4,619
|
|
|
4,565
|
|
|
3,368
|
|
||||||||
Net income applicable to common shareholders
|
4,335
|
|
|
4,452
|
|
|
4,422
|
|
|
3,015
|
|
|
2,954
|
|
|
4,178
|
|
|
4,235
|
|
|
2,986
|
|
||||||||
Average common shares issued and outstanding
|
10,170
|
|
|
10,250
|
|
|
10,328
|
|
|
10,370
|
|
|
10,399
|
|
|
10,444
|
|
|
10,488
|
|
|
10,519
|
|
||||||||
Average diluted common shares issued and outstanding
|
10,959
|
|
|
11,000
|
|
|
11,059
|
|
|
11,100
|
|
|
11,153
|
|
|
11,197
|
|
|
11,238
|
|
|
11,267
|
|
||||||||
Performance ratios
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Return on average assets
|
0.85
|
%
|
|
0.90
|
%
|
|
0.88
|
%
|
|
0.64
|
%
|
|
0.60
|
%
|
|
0.84
|
%
|
|
0.85
|
%
|
|
0.64
|
%
|
||||||||
Four quarter trailing return on average assets
(1)
|
0.82
|
|
|
0.76
|
|
|
0.74
|
|
|
0.73
|
|
|
0.73
|
|
|
0.74
|
|
|
0.52
|
|
|
0.42
|
|
||||||||
Return on average common shareholders’ equity
|
7.04
|
|
|
7.27
|
|
|
7.40
|
|
|
5.11
|
|
|
4.99
|
|
|
7.16
|
|
|
7.43
|
|
|
5.37
|
|
||||||||
Return on average tangible common shareholders’ equity
(2)
|
9.92
|
|
|
10.28
|
|
|
10.54
|
|
|
7.33
|
|
|
7.19
|
|
|
10.40
|
|
|
10.85
|
|
|
7.91
|
|
||||||||
Return on average shareholders' equity
|
6.91
|
|
|
7.33
|
|
|
7.25
|
|
|
5.36
|
|
|
5.07
|
|
|
7.22
|
|
|
7.29
|
|
|
5.55
|
|
||||||||
Return on average tangible shareholders’ equity
(2)
|
9.38
|
|
|
9.98
|
|
|
9.93
|
|
|
7.40
|
|
|
7.04
|
|
|
10.08
|
|
|
10.24
|
|
|
7.87
|
|
||||||||
Total ending equity to total ending assets
|
12.20
|
|
|
12.30
|
|
|
12.23
|
|
|
12.03
|
|
|
11.95
|
|
|
11.88
|
|
|
11.70
|
|
|
11.68
|
|
||||||||
Total average equity to total average assets
|
12.24
|
|
|
12.28
|
|
|
12.13
|
|
|
11.98
|
|
|
11.79
|
|
|
11.70
|
|
|
11.67
|
|
|
11.50
|
|
||||||||
Dividend payout
|
17.68
|
|
|
17.32
|
|
|
11.73
|
|
|
17.13
|
|
|
17.57
|
|
|
12.48
|
|
|
12.36
|
|
|
17.62
|
|
||||||||
Per common share data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Earnings
|
$
|
0.43
|
|
|
$
|
0.43
|
|
|
$
|
0.43
|
|
|
$
|
0.29
|
|
|
$
|
0.28
|
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
$
|
0.28
|
|
Diluted earnings
|
0.40
|
|
|
0.41
|
|
|
0.41
|
|
|
0.28
|
|
|
0.27
|
|
|
0.38
|
|
|
0.38
|
|
|
0.27
|
|
||||||||
Dividends paid
|
0.075
|
|
|
0.075
|
|
|
0.05
|
|
|
0.05
|
|
|
0.05
|
|
|
0.05
|
|
|
0.05
|
|
|
0.05
|
|
||||||||
Book value
|
24.04
|
|
|
24.19
|
|
|
23.71
|
|
|
23.14
|
|
|
22.53
|
|
|
22.40
|
|
|
21.89
|
|
|
21.67
|
|
||||||||
Tangible book value
(2)
|
16.95
|
|
|
17.14
|
|
|
16.71
|
|
|
16.19
|
|
|
15.62
|
|
|
15.50
|
|
|
15.00
|
|
|
14.80
|
|
||||||||
Market price per share of common stock
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Closing
|
$
|
22.10
|
|
|
$
|
15.65
|
|
|
$
|
13.27
|
|
|
$
|
13.52
|
|
|
$
|
16.83
|
|
|
$
|
15.58
|
|
|
$
|
17.02
|
|
|
$
|
15.39
|
|
High closing
|
23.16
|
|
|
16.19
|
|
|
15.11
|
|
|
16.43
|
|
|
17.95
|
|
|
18.45
|
|
|
17.67
|
|
|
17.90
|
|
||||||||
Low closing
|
15.63
|
|
|
12.74
|
|
|
12.18
|
|
|
11.16
|
|
|
15.38
|
|
|
15.26
|
|
|
15.41
|
|
|
15.15
|
|
||||||||
Market capitalization
|
$
|
222,163
|
|
|
$
|
158,438
|
|
|
$
|
135,577
|
|
|
$
|
139,427
|
|
|
$
|
174,700
|
|
|
$
|
162,457
|
|
|
$
|
178,231
|
|
|
$
|
161,909
|
|
(1)
|
Calculated as total net income for four consecutive quarters divided by annualized average assets for four consecutive quarters.
|
(2)
|
Tangible equity ratios and tangible book value per share of common stock are non-GAAP financial measures. For more information on these ratios, see
Supplemental Financial Data
on page
27
, and for corresponding reconciliations to GAAP financial measures, see Statistical Table XVI.
|
(3)
|
For more information on the impact of the PCI loan portfolio on asset quality, see
Consumer Portfolio Credit Risk Management
on page
56
.
|
(4)
|
Includes the allowance for loan and lease losses and the reserve for unfunded lending commitments.
|
(5)
|
Balances and ratios do not include loans accounted for under the fair value option. For additional exclusions from nonperforming loans, leases and foreclosed properties, see
Consumer Portfolio Credit Risk Management – Nonperforming Consumer Loans, Leases and Foreclosed Properties Activity
on page
64
and corresponding
Table 30
, and
Commercial Portfolio Credit Risk Management – Nonperforming Commercial Loans, Leases and Foreclosed Properties Activity
on page
70
and corresponding
Table 37
.
|
(6)
|
Asset quality metrics as of December 31, 2016 include $243 million of non-U.S. credit card allowance for loan and lease losses and $9.2 billion of non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(7)
|
Primarily includes amounts allocated to the U.S. credit card and unsecured consumer lending portfolios in
Consumer Banking
, PCI loans and the non-U.S. credit card portfolio in
All Other
.
|
(8)
|
Net charge-offs exclude
$70 million
,
$83 million
,
$82 million
and
$105 million
of write-offs in the PCI loan portfolio in the fourth, third, second and first quarters of
2016
, respectively, and
$82 million
,
$148 million
,
$290 million
and
$288 million
in the fourth, third, second and first quarters of
2015
, respectively. For more information on PCI write-offs, see
Consumer Portfolio Credit Risk Management – Purchased Credit-impaired Loan Portfolio
on page
62
.
|
(9)
|
Risk-based capital ratios are reported under Basel 3 Advanced - Transition beginning in the fourth quarter of 2015. Prior to fourth quarter of 2015, we were required to report risk-based capital ratios under Basel 3 Standardized - Transition only. For additional information, see
Capital Management
on page
45
.
|
|
|
Bank of America 2016
105
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Table XII
Selected Quarterly Financial Data (continued)
|
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
2016 Quarters
|
|
2015 Quarters
|
||||||||||||||||||||||||||||
(Dollars in millions)
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
||||||||||||||||
Average balance sheet
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Total loans and leases
|
$
|
908,396
|
|
|
$
|
900,594
|
|
|
$
|
899,670
|
|
|
$
|
892,984
|
|
|
$
|
886,156
|
|
|
$
|
877,429
|
|
|
$
|
876,178
|
|
|
$
|
876,169
|
|
Total assets
|
2,208,039
|
|
|
2,189,490
|
|
|
2,188,241
|
|
|
2,173,922
|
|
|
2,180,507
|
|
|
2,168,930
|
|
|
2,151,966
|
|
|
2,138,832
|
|
||||||||
Total deposits
|
1,250,948
|
|
|
1,227,186
|
|
|
1,213,291
|
|
|
1,198,455
|
|
|
1,186,051
|
|
|
1,159,231
|
|
|
1,146,789
|
|
|
1,130,725
|
|
||||||||
Long-term debt
|
220,587
|
|
|
227,269
|
|
|
233,061
|
|
|
233,654
|
|
|
237,384
|
|
|
240,520
|
|
|
242,230
|
|
|
240,127
|
|
||||||||
Common shareholders’ equity
|
245,139
|
|
|
243,679
|
|
|
240,376
|
|
|
237,229
|
|
|
234,800
|
|
|
231,524
|
|
|
228,774
|
|
|
225,477
|
|
||||||||
Total shareholders’ equity
|
270,360
|
|
|
268,899
|
|
|
265,354
|
|
|
260,423
|
|
|
257,074
|
|
|
253,798
|
|
|
251,048
|
|
|
245,863
|
|
||||||||
Asset quality
(3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Allowance for credit losses
(4)
|
$
|
11,999
|
|
|
$
|
12,459
|
|
|
$
|
12,587
|
|
|
$
|
12,696
|
|
|
$
|
12,880
|
|
|
$
|
13,318
|
|
|
$
|
13,656
|
|
|
$
|
14,213
|
|
Nonperforming loans, leases and foreclosed properties
(5)
|
8,084
|
|
|
8,737
|
|
|
8,799
|
|
|
9,281
|
|
|
9,836
|
|
|
10,336
|
|
|
11,565
|
|
|
12,101
|
|
||||||||
Allowance for loan and lease losses as a percentage of total loans and leases outstanding
(5, 6)
|
1.26
|
%
|
|
1.30
|
%
|
|
1.32
|
%
|
|
1.35
|
%
|
|
1.37
|
%
|
|
1.45
|
%
|
|
1.50
|
%
|
|
1.58
|
%
|
||||||||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases
(5, 6)
|
149
|
|
|
140
|
|
|
142
|
|
|
136
|
|
|
130
|
|
|
129
|
|
|
122
|
|
|
122
|
|
||||||||
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases, excluding the PCI loan portfolio
(5, 6)
|
144
|
|
|
135
|
|
|
135
|
|
|
129
|
|
|
122
|
|
|
120
|
|
|
111
|
|
|
110
|
|
||||||||
Amounts included in allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases
(7)
|
$
|
3,951
|
|
|
$
|
4,068
|
|
|
$
|
4,087
|
|
|
$
|
4,138
|
|
|
$
|
4,518
|
|
|
$
|
4,682
|
|
|
$
|
5,050
|
|
|
$
|
5,492
|
|
Allowance for loan and lease losses as a percentage of total nonperforming loans and leases, excluding the allowance for loan and lease losses for loans and leases that are excluded from nonperforming loans and leases
(5, 7)
|
98
|
%
|
|
91
|
%
|
|
93
|
%
|
|
90
|
%
|
|
82
|
%
|
|
81
|
%
|
|
75
|
%
|
|
73
|
%
|
||||||||
Net charge-offs
(8)
|
$
|
880
|
|
|
$
|
888
|
|
|
$
|
985
|
|
|
$
|
1,068
|
|
|
$
|
1,144
|
|
|
$
|
932
|
|
|
$
|
1,068
|
|
|
$
|
1,194
|
|
Annualized net charge-offs as a percentage of average loans and leases outstanding
(5, 8)
|
0.39
|
%
|
|
0.40
|
%
|
|
0.44
|
%
|
|
0.48
|
%
|
|
0.52
|
%
|
|
0.43
|
%
|
|
0.49
|
%
|
|
0.56
|
%
|
||||||||
Annualized net charge-offs as a percentage of average loans and leases outstanding, excluding the PCI loan portfolio
(5)
|
0.39
|
|
|
0.40
|
|
|
0.45
|
|
|
0.49
|
|
|
0.53
|
|
|
0.43
|
|
|
0.50
|
|
|
0.58
|
|
||||||||
Annualized net charge-offs and PCI write-offs as a percentage of average loans and leases outstanding
(5)
|
0.42
|
|
|
0.43
|
|
|
0.48
|
|
|
0.53
|
|
|
0.55
|
|
|
0.49
|
|
|
0.63
|
|
|
0.70
|
|
||||||||
Nonperforming loans and leases as a percentage of total loans and leases outstanding
(5, 6)
|
0.85
|
|
|
0.93
|
|
|
0.94
|
|
|
0.99
|
|
|
1.05
|
|
|
1.12
|
|
|
1.23
|
|
|
1.30
|
|
||||||||
Nonperforming loans, leases and foreclosed properties as a percentage of total loans, leases and foreclosed properties
(5, 6)
|
0.89
|
|
|
0.97
|
|
|
0.98
|
|
|
1.04
|
|
|
1.10
|
|
|
1.18
|
|
|
1.32
|
|
|
1.40
|
|
||||||||
Ratio of the allowance for loan and lease losses at period end to annualized net charge-offs
(6, 8)
|
3.28
|
|
|
3.31
|
|
|
2.99
|
|
|
2.81
|
|
|
2.70
|
|
|
3.42
|
|
|
3.05
|
|
|
2.82
|
|
||||||||
Ratio of the allowance for loan and lease losses at period end to annualized net charge-offs, excluding the PCI loan portfolio
(6)
|
3.16
|
|
|
3.18
|
|
|
2.85
|
|
|
2.67
|
|
|
2.52
|
|
|
3.18
|
|
|
2.79
|
|
|
2.55
|
|
||||||||
Ratio of the allowance for loan and lease losses at period end to annualized net charge-offs and PCI write-offs
(6)
|
3.04
|
|
|
3.03
|
|
|
2.76
|
|
|
2.56
|
|
|
2.52
|
|
|
2.95
|
|
|
2.40
|
|
|
2.28
|
|
||||||||
Capital ratios at period end
(9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Risk-based capital:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Common equity tier 1 capital
|
11.0
|
%
|
|
11.0
|
%
|
|
10.6
|
%
|
|
10.3
|
%
|
|
10.2
|
%
|
|
11.6
|
%
|
|
11.2
|
%
|
|
11.1
|
%
|
||||||||
Tier 1 capital
|
12.4
|
|
|
12.4
|
|
|
12.0
|
|
|
11.5
|
|
|
11.3
|
|
|
12.9
|
|
|
12.5
|
|
|
12.3
|
|
||||||||
Total capital
|
14.3
|
|
|
14.2
|
|
|
13.9
|
|
|
13.4
|
|
|
13.2
|
|
|
15.8
|
|
|
15.5
|
|
|
15.3
|
|
||||||||
Tier 1 leverage
|
8.9
|
|
|
9.1
|
|
|
8.9
|
|
|
8.7
|
|
|
8.6
|
|
|
8.5
|
|
|
8.5
|
|
|
8.4
|
|
||||||||
Tangible equity
(2)
|
9.2
|
|
|
9.4
|
|
|
9.3
|
|
|
9.1
|
|
|
8.9
|
|
|
8.8
|
|
|
8.6
|
|
|
8.6
|
|
||||||||
Tangible common equity
(2)
|
8.1
|
|
|
8.2
|
|
|
8.1
|
|
|
7.9
|
|
|
7.8
|
|
|
7.8
|
|
|
7.6
|
|
|
7.5
|
|
106
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table XIII
Quarterly Average Balances and Interest Rates – FTE Basis
|
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Fourth Quarter 2016
|
|
Fourth Quarter 2015
|
||||||||||||||||||
(Dollars in millions)
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Yield/
Rate
|
|
Average
Balance |
|
Interest
Income/ Expense |
|
Yield/
Rate |
||||||||||
Earning assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest-bearing deposits with the Federal Reserve, non-U.S. central banks and other banks
|
$
|
125,820
|
|
|
$
|
145
|
|
|
0.46
|
%
|
|
$
|
148,102
|
|
|
$
|
108
|
|
|
0.29
|
%
|
Time deposits placed and other short-term investments
|
9,745
|
|
|
39
|
|
|
1.57
|
|
|
10,120
|
|
|
41
|
|
|
1.61
|
|
||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
218,200
|
|
|
315
|
|
|
0.57
|
|
|
207,585
|
|
|
214
|
|
|
0.41
|
|
||||
Trading account assets
|
126,731
|
|
|
1,131
|
|
|
3.55
|
|
|
134,797
|
|
|
1,141
|
|
|
3.37
|
|
||||
Debt securities
(1)
|
430,719
|
|
|
2,273
|
|
|
2.11
|
|
|
399,338
|
|
|
2,470
|
|
|
2.48
|
|
||||
Loans and leases
(2)
:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
191,003
|
|
|
1,621
|
|
|
3.39
|
|
|
189,650
|
|
|
1,644
|
|
|
3.47
|
|
||||
Home equity
|
68,021
|
|
|
618
|
|
|
3.63
|
|
|
77,109
|
|
|
715
|
|
|
3.69
|
|
||||
U.S. credit card
|
89,521
|
|
|
2,105
|
|
|
9.35
|
|
|
88,623
|
|
|
2,045
|
|
|
9.15
|
|
||||
Non-U.S. credit card
|
9,051
|
|
|
192
|
|
|
8.43
|
|
|
10,155
|
|
|
258
|
|
|
10.07
|
|
||||
Direct/Indirect consumer
(3)
|
93,527
|
|
|
598
|
|
|
2.54
|
|
|
87,858
|
|
|
530
|
|
|
2.40
|
|
||||
Other consumer
(4)
|
2,462
|
|
|
25
|
|
|
3.99
|
|
|
2,039
|
|
|
11
|
|
|
2.09
|
|
||||
Total consumer
|
453,585
|
|
|
5,159
|
|
|
4.53
|
|
|
455,434
|
|
|
5,203
|
|
|
4.55
|
|
||||
U.S. commercial
|
283,491
|
|
|
2,119
|
|
|
2.97
|
|
|
261,727
|
|
|
1,790
|
|
|
2.72
|
|
||||
Commercial real estate
(5)
|
57,540
|
|
|
453
|
|
|
3.13
|
|
|
56,126
|
|
|
408
|
|
|
2.89
|
|
||||
Commercial lease financing
|
21,436
|
|
|
145
|
|
|
2.71
|
|
|
20,422
|
|
|
155
|
|
|
3.03
|
|
||||
Non-U.S. commercial
|
92,344
|
|
|
589
|
|
|
2.54
|
|
|
92,447
|
|
|
530
|
|
|
2.27
|
|
||||
Total commercial
|
454,811
|
|
|
3,306
|
|
|
2.89
|
|
|
430,722
|
|
|
2,883
|
|
|
2.66
|
|
||||
Total loans and leases
(1)
|
908,396
|
|
|
8,465
|
|
|
3.71
|
|
|
886,156
|
|
|
8,086
|
|
|
3.63
|
|
||||
Other earning assets
|
64,501
|
|
|
731
|
|
|
4.52
|
|
|
61,073
|
|
|
748
|
|
|
4.87
|
|
||||
Total earning assets
(6)
|
1,884,112
|
|
|
13,099
|
|
|
2.77
|
|
|
1,847,171
|
|
|
12,808
|
|
|
2.76
|
|
||||
Cash and due from banks
(1)
|
27,452
|
|
|
|
|
|
|
29,503
|
|
|
|
|
|
||||||||
Other assets, less allowance for loan and lease losses
(1)
|
296,475
|
|
|
|
|
|
|
303,833
|
|
|
|
|
|
||||||||
Total assets
|
$
|
2,208,039
|
|
|
|
|
|
|
$
|
2,180,507
|
|
|
|
|
|
||||||
Interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Savings
|
$
|
50,132
|
|
|
$
|
1
|
|
|
0.01
|
%
|
|
$
|
46,094
|
|
|
$
|
1
|
|
|
0.01
|
%
|
NOW and money market deposit accounts
|
604,155
|
|
|
78
|
|
|
0.05
|
|
|
558,441
|
|
|
68
|
|
|
0.05
|
|
||||
Consumer CDs and IRAs
|
47,625
|
|
|
32
|
|
|
0.27
|
|
|
51,107
|
|
|
37
|
|
|
0.29
|
|
||||
Negotiable CDs, public funds and other deposits
|
34,904
|
|
|
53
|
|
|
0.60
|
|
|
30,546
|
|
|
25
|
|
|
0.32
|
|
||||
Total U.S. interest-bearing deposits
|
736,816
|
|
|
164
|
|
|
0.09
|
|
|
686,188
|
|
|
131
|
|
|
0.08
|
|
||||
Non-U.S. interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Banks located in non-U.S. countries
|
2,918
|
|
|
4
|
|
|
0.48
|
|
|
3,997
|
|
|
7
|
|
|
0.69
|
|
||||
Governments and official institutions
|
1,346
|
|
|
2
|
|
|
0.74
|
|
|
1,687
|
|
|
2
|
|
|
0.37
|
|
||||
Time, savings and other
|
60,123
|
|
|
109
|
|
|
0.73
|
|
|
55,965
|
|
|
71
|
|
|
0.51
|
|
||||
Total non-U.S. interest-bearing deposits
|
64,387
|
|
|
115
|
|
|
0.71
|
|
|
61,649
|
|
|
80
|
|
|
0.52
|
|
||||
Total interest-bearing deposits
|
801,203
|
|
|
279
|
|
|
0.14
|
|
|
747,837
|
|
|
211
|
|
|
0.11
|
|
||||
Federal funds purchased, securities loaned or sold under agreements to repurchase and short-term borrowings
|
207,679
|
|
|
542
|
|
|
1.04
|
|
|
231,650
|
|
|
519
|
|
|
0.89
|
|
||||
Trading account liabilities
|
71,598
|
|
|
240
|
|
|
1.33
|
|
|
73,139
|
|
|
272
|
|
|
1.48
|
|
||||
Long-term debt
(7)
|
220,587
|
|
|
1,512
|
|
|
2.74
|
|
|
237,384
|
|
|
1,895
|
|
|
3.18
|
|
||||
Total interest-bearing liabilities
(6)
|
1,301,067
|
|
|
2,573
|
|
|
0.79
|
|
|
1,290,010
|
|
|
2,897
|
|
|
0.89
|
|
||||
Noninterest-bearing sources:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Noninterest-bearing deposits
|
449,745
|
|
|
|
|
|
|
438,214
|
|
|
|
|
|
||||||||
Other liabilities
|
186,867
|
|
|
|
|
|
|
195,209
|
|
|
|
|
|
||||||||
Shareholders’ equity
|
270,360
|
|
|
|
|
|
|
257,074
|
|
|
|
|
|
||||||||
Total liabilities and shareholders’ equity
|
$
|
2,208,039
|
|
|
|
|
|
|
$
|
2,180,507
|
|
|
|
|
|
||||||
Net interest spread
|
|
|
|
|
1.98
|
%
|
|
|
|
|
|
1.87
|
%
|
||||||||
Impact of noninterest-bearing sources
|
|
|
|
|
0.25
|
|
|
|
|
|
|
0.27
|
|
||||||||
Net interest income/yield on earning assets
|
|
|
$
|
10,526
|
|
|
2.23
|
%
|
|
|
|
$
|
9,911
|
|
|
2.14
|
%
|
(1)
|
Includes assets of the Corporation's non-U.S. consumer credit card business, which are included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(2)
|
Nonperforming loans are included in the respective average loan balances. Income on these nonperforming loans is generally recognized on a cost recovery basis. PCI loans were recorded at fair value upon acquisition and accrete interest income over the estimated life of the loan.
|
(3)
|
Includes non-U.S. consumer loans of
$3.1 billion
and
$4.0 billion
in the fourth quarter of
2016
and
2015
.
|
(4)
|
Includes consumer finance loans of
$478 million
and
$578 million
; consumer leases of
$1.8 billion
and
$1.3 billion
, and consumer overdrafts of
$177 million
and
$174 million
in the fourth quarter of
2016
and
2015
, respectively.
|
(5)
|
Includes U.S. commercial real estate loans of
$54.3 billion
and
$52.8 billion
, and non-U.S. commercial real estate loans of
$3.2 billion
and
$3.3 billion
in the fourth quarter of
2016
and
2015
, respectively.
|
(6)
|
Interest income includes the impact of interest rate risk management contracts, which decreased interest income on the underlying assets by
$21 million
and
$32 million
in the fourth quarter of
2016
and
2015
. Interest expense includes the impact of interest rate risk management contracts, which decreased interest expense on the underlying liabilities by
$332 million
and
$681 million
in the fourth quarter of
2016
and
2015
. For additional information, see
Interest Rate Risk Management for the Banking Book
on page
84
.
|
(7)
|
The yield on long-term debt excluding the
$612 million
adjustment related to the redemption of certain trust preferred securities was
2.15 percent
for the fourth quarter of 2015. The yield on long-term debt excluding the adjustment is a non-GAAP financial measure.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank of America 2016
107
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Table XIV
Quarterly Supplemental Financial Data
|
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
2016 Quarters
|
|
2015 Quarters
|
||||||||||||||||||||||||||||
(Dollars in millions, except per share information)
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
||||||||||||||||
Fully taxable-equivalent basis data
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net interest income
|
$
|
10,526
|
|
|
$
|
10,429
|
|
|
$
|
10,341
|
|
|
$
|
10,700
|
|
|
$
|
9,911
|
|
|
$
|
10,127
|
|
|
$
|
9,739
|
|
|
$
|
10,070
|
|
Total revenue, net of interest expense
|
20,224
|
|
|
21,863
|
|
|
21,509
|
|
|
21,005
|
|
|
19,807
|
|
|
21,219
|
|
|
21,262
|
|
|
21,566
|
|
||||||||
Net interest yield
|
2.23
|
%
|
|
2.23
|
%
|
|
2.23
|
%
|
|
2.33
|
%
|
|
2.14
|
%
|
|
2.19
|
%
|
|
2.16
|
%
|
|
2.26
|
%
|
||||||||
Efficiency ratio
|
65.08
|
|
|
61.66
|
|
|
62.73
|
|
|
70.54
|
|
|
70.73
|
|
|
65.70
|
|
|
65.65
|
|
|
73.39
|
|
(1)
|
FTE basis is a non-GAAP financial measure. FTE basis is a performance measure used by management in operating the business that management believes provides investors with a more accurate picture of the interest margin for comparative purposes. The Corporation believes that this presentation allows for comparison of amounts from both taxable and tax-exempt sources and is consistent with industry practices. For more information on these performance measures and ratios, see
Supplemental Financial Data
on page
27
and for corresponding reconciliations to GAAP financial measures, see Statistical Table XVI.
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Table XV
Five-year Reconciliations to GAAP Financial Measures
(1)
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
(Dollars in millions, shares in thousands)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Reconciliation of net interest income to net interest income on a fully taxable-equivalent basis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net interest income
|
$
|
41,096
|
|
|
$
|
38,958
|
|
|
$
|
40,779
|
|
|
$
|
40,719
|
|
|
$
|
40,135
|
|
Fully taxable-equivalent adjustment
|
900
|
|
|
889
|
|
|
851
|
|
|
859
|
|
|
901
|
|
|||||
Net interest income on a fully taxable-equivalent basis
|
$
|
41,996
|
|
|
$
|
39,847
|
|
|
$
|
41,630
|
|
|
$
|
41,578
|
|
|
$
|
41,036
|
|
Reconciliation of total revenue, net of interest expense to total revenue, net of interest expense on a fully taxable-equivalent basis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total revenue, net of interest expense
|
$
|
83,701
|
|
|
$
|
82,965
|
|
|
$
|
85,894
|
|
|
$
|
87,502
|
|
|
$
|
82,798
|
|
Fully taxable-equivalent adjustment
|
900
|
|
|
889
|
|
|
851
|
|
|
859
|
|
|
901
|
|
|||||
Total revenue, net of interest expense on a fully taxable-equivalent basis
|
$
|
84,601
|
|
|
$
|
83,854
|
|
|
$
|
86,745
|
|
|
$
|
88,361
|
|
|
$
|
83,699
|
|
Reconciliation of income tax expense (benefit) to income tax expense (benefit) on a fully taxable-equivalent basis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Income tax expense (benefit)
|
$
|
7,247
|
|
|
$
|
6,234
|
|
|
$
|
2,443
|
|
|
$
|
4,194
|
|
|
$
|
(1,320
|
)
|
Fully taxable-equivalent adjustment
|
900
|
|
|
889
|
|
|
851
|
|
|
859
|
|
|
901
|
|
|||||
Income tax expense (benefit) on a fully taxable-equivalent basis
|
$
|
8,147
|
|
|
$
|
7,123
|
|
|
$
|
3,294
|
|
|
$
|
5,053
|
|
|
$
|
(419
|
)
|
Reconciliation of average common shareholders’ equity to average tangible common shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common shareholders’ equity
|
$
|
241,621
|
|
|
$
|
230,173
|
|
|
$
|
222,907
|
|
|
$
|
218,340
|
|
|
$
|
216,999
|
|
Goodwill
|
(69,750
|
)
|
|
(69,772
|
)
|
|
(69,809
|
)
|
|
(69,910
|
)
|
|
(69,974
|
)
|
|||||
Intangible assets (excluding MSRs)
|
(3,382
|
)
|
|
(4,201
|
)
|
|
(5,109
|
)
|
|
(6,132
|
)
|
|
(7,366
|
)
|
|||||
Related deferred tax liabilities
|
1,644
|
|
|
1,852
|
|
|
2,090
|
|
|
2,328
|
|
|
2,593
|
|
|||||
Tangible common shareholders’ equity
|
$
|
170,133
|
|
|
$
|
158,052
|
|
|
$
|
150,079
|
|
|
$
|
144,626
|
|
|
$
|
142,252
|
|
Reconciliation of average shareholders’ equity to average tangible shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Shareholders’ equity
|
$
|
266,277
|
|
|
$
|
251,981
|
|
|
$
|
238,317
|
|
|
$
|
233,819
|
|
|
$
|
235,681
|
|
Goodwill
|
(69,750
|
)
|
|
(69,772
|
)
|
|
(69,809
|
)
|
|
(69,910
|
)
|
|
(69,974
|
)
|
|||||
Intangible assets (excluding MSRs)
|
(3,382
|
)
|
|
(4,201
|
)
|
|
(5,109
|
)
|
|
(6,132
|
)
|
|
(7,366
|
)
|
|||||
Related deferred tax liabilities
|
1,644
|
|
|
1,852
|
|
|
2,090
|
|
|
2,328
|
|
|
2,593
|
|
|||||
Tangible shareholders’ equity
|
$
|
194,789
|
|
|
$
|
179,860
|
|
|
$
|
165,489
|
|
|
$
|
160,105
|
|
|
$
|
160,934
|
|
Reconciliation of year-end common shareholders’ equity to year-end tangible common shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common shareholders’ equity
|
$
|
241,620
|
|
|
$
|
233,903
|
|
|
$
|
224,167
|
|
|
$
|
219,124
|
|
|
$
|
218,194
|
|
Goodwill
|
(69,744
|
)
|
|
(69,761
|
)
|
|
(69,777
|
)
|
|
(69,844
|
)
|
|
(69,976
|
)
|
|||||
Intangible assets (excluding MSRs)
|
(2,989
|
)
|
|
(3,768
|
)
|
|
(4,612
|
)
|
|
(5,574
|
)
|
|
(6,684
|
)
|
|||||
Related deferred tax liabilities
|
1,545
|
|
|
1,716
|
|
|
1,960
|
|
|
2,166
|
|
|
2,428
|
|
|||||
Tangible common shareholders’ equity
|
$
|
170,432
|
|
|
$
|
162,090
|
|
|
$
|
151,738
|
|
|
$
|
145,872
|
|
|
$
|
143,962
|
|
Reconciliation of year-end shareholders’ equity to year-end tangible shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Shareholders’ equity
|
$
|
266,840
|
|
|
$
|
256,176
|
|
|
$
|
243,476
|
|
|
$
|
232,475
|
|
|
$
|
236,962
|
|
Goodwill
|
(69,744
|
)
|
|
(69,761
|
)
|
|
(69,777
|
)
|
|
(69,844
|
)
|
|
(69,976
|
)
|
|||||
Intangible assets (excluding MSRs)
|
(2,989
|
)
|
|
(3,768
|
)
|
|
(4,612
|
)
|
|
(5,574
|
)
|
|
(6,684
|
)
|
|||||
Related deferred tax liabilities
|
1,545
|
|
|
1,716
|
|
|
1,960
|
|
|
2,166
|
|
|
2,428
|
|
|||||
Tangible shareholders’ equity
|
$
|
195,652
|
|
|
$
|
184,363
|
|
|
$
|
171,047
|
|
|
$
|
159,223
|
|
|
$
|
162,730
|
|
Reconciliation of year-end assets to year-end tangible assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Assets
|
$
|
2,187,702
|
|
|
$
|
2,144,287
|
|
|
$
|
2,104,539
|
|
|
$
|
2,102,064
|
|
|
$
|
2,209,981
|
|
Goodwill
|
(69,744
|
)
|
|
(69,761
|
)
|
|
(69,777
|
)
|
|
(69,844
|
)
|
|
(69,976
|
)
|
|||||
Intangible assets (excluding MSRs)
|
(2,989
|
)
|
|
(3,768
|
)
|
|
(4,612
|
)
|
|
(5,574
|
)
|
|
(6,684
|
)
|
|||||
Related deferred tax liabilities
|
1,545
|
|
|
1,716
|
|
|
1,960
|
|
|
2,166
|
|
|
2,428
|
|
|||||
Tangible assets
|
$
|
2,116,514
|
|
|
$
|
2,072,474
|
|
|
$
|
2,032,110
|
|
|
$
|
2,028,812
|
|
|
$
|
2,135,749
|
|
(1)
|
Presents reconciliations of non-GAAP financial measures to GAAP financial measures. We believe the use of these non-GAAP financial measures provides additional clarity in assessing the results of the Corporation. Other companies may define or calculate these measures differently. For more information on non-GAAP financial measures and ratios we use in assessing the results of the Corporation, see
Supplemental Financial Data
on page
27
.
|
108
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Table XVI
Quarterly Reconciliations to GAAP Financial Measures
(1)
|
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
2016 Quarters
|
|
2015 Quarters
|
||||||||||||||||||||||||||||
(Dollars in millions)
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
||||||||||||||||
Reconciliation of net interest income to net interest income on a fully taxable-equivalent basis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net interest income
|
$
|
10,292
|
|
|
$
|
10,201
|
|
|
$
|
10,118
|
|
|
$
|
10,485
|
|
|
$
|
9,686
|
|
|
$
|
9,900
|
|
|
$
|
9,517
|
|
|
$
|
9,855
|
|
Fully taxable-equivalent adjustment
|
234
|
|
|
228
|
|
|
223
|
|
|
215
|
|
|
225
|
|
|
227
|
|
|
222
|
|
|
215
|
|
||||||||
Net interest income on a fully taxable-equivalent basis
|
$
|
10,526
|
|
|
$
|
10,429
|
|
|
$
|
10,341
|
|
|
$
|
10,700
|
|
|
$
|
9,911
|
|
|
$
|
10,127
|
|
|
$
|
9,739
|
|
|
$
|
10,070
|
|
Reconciliation of total revenue, net of interest expense to total revenue, net of interest expense on a fully taxable-equivalent basis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Total revenue, net of interest expense
|
$
|
19,990
|
|
|
$
|
21,635
|
|
|
$
|
21,286
|
|
|
$
|
20,790
|
|
|
$
|
19,582
|
|
|
$
|
20,992
|
|
|
$
|
21,040
|
|
|
$
|
21,351
|
|
Fully taxable-equivalent adjustment
|
234
|
|
|
228
|
|
|
223
|
|
|
215
|
|
|
225
|
|
|
227
|
|
|
222
|
|
|
215
|
|
||||||||
Total revenue, net of interest expense on a fully taxable-equivalent basis
|
$
|
20,224
|
|
|
$
|
21,863
|
|
|
$
|
21,509
|
|
|
$
|
21,005
|
|
|
$
|
19,807
|
|
|
$
|
21,219
|
|
|
$
|
21,262
|
|
|
$
|
21,566
|
|
Reconciliation of income tax expense to income tax expense on a fully taxable-equivalent basis
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Income tax expense
|
$
|
1,359
|
|
|
$
|
2,349
|
|
|
$
|
2,034
|
|
|
$
|
1,505
|
|
|
$
|
1,478
|
|
|
$
|
1,628
|
|
|
$
|
1,736
|
|
|
$
|
1,392
|
|
Fully taxable-equivalent adjustment
|
234
|
|
|
228
|
|
|
223
|
|
|
215
|
|
|
225
|
|
|
227
|
|
|
222
|
|
|
215
|
|
||||||||
Income tax expense on a fully taxable-equivalent basis
|
$
|
1,593
|
|
|
$
|
2,577
|
|
|
$
|
2,257
|
|
|
$
|
1,720
|
|
|
$
|
1,703
|
|
|
$
|
1,855
|
|
|
$
|
1,958
|
|
|
$
|
1,607
|
|
Reconciliation of average common shareholders’ equity to average tangible common shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Common shareholders’ equity
|
$
|
245,139
|
|
|
$
|
243,679
|
|
|
$
|
240,376
|
|
|
$
|
237,229
|
|
|
$
|
234,800
|
|
|
$
|
231,524
|
|
|
$
|
228,774
|
|
|
$
|
225,477
|
|
Goodwill
|
(69,745
|
)
|
|
(69,744
|
)
|
|
(69,751
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,774
|
)
|
|
(69,775
|
)
|
|
(69,776
|
)
|
||||||||
Intangible assets (excluding MSRs)
|
(3,091
|
)
|
|
(3,276
|
)
|
|
(3,480
|
)
|
|
(3,687
|
)
|
|
(3,888
|
)
|
|
(4,099
|
)
|
|
(4,307
|
)
|
|
(4,518
|
)
|
||||||||
Related deferred tax liabilities
|
1,580
|
|
|
1,628
|
|
|
1,662
|
|
|
1,707
|
|
|
1,753
|
|
|
1,811
|
|
|
1,885
|
|
|
1,959
|
|
||||||||
Tangible common shareholders’ equity
|
$
|
173,883
|
|
|
$
|
172,287
|
|
|
$
|
168,807
|
|
|
$
|
165,488
|
|
|
$
|
162,904
|
|
|
$
|
159,462
|
|
|
$
|
156,577
|
|
|
$
|
153,142
|
|
Reconciliation of average shareholders’ equity to average tangible shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Shareholders’ equity
|
$
|
270,360
|
|
|
$
|
268,899
|
|
|
$
|
265,354
|
|
|
$
|
260,423
|
|
|
$
|
257,074
|
|
|
$
|
253,798
|
|
|
$
|
251,048
|
|
|
$
|
245,863
|
|
Goodwill
|
(69,745
|
)
|
|
(69,744
|
)
|
|
(69,751
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,774
|
)
|
|
(69,775
|
)
|
|
(69,776
|
)
|
||||||||
Intangible assets (excluding MSRs)
|
(3,091
|
)
|
|
(3,276
|
)
|
|
(3,480
|
)
|
|
(3,687
|
)
|
|
(3,888
|
)
|
|
(4,099
|
)
|
|
(4,307
|
)
|
|
(4,518
|
)
|
||||||||
Related deferred tax liabilities
|
1,580
|
|
|
1,628
|
|
|
1,662
|
|
|
1,707
|
|
|
1,753
|
|
|
1,811
|
|
|
1,885
|
|
|
1,959
|
|
||||||||
Tangible shareholders’ equity
|
$
|
199,104
|
|
|
$
|
197,507
|
|
|
$
|
193,785
|
|
|
$
|
188,682
|
|
|
$
|
185,178
|
|
|
$
|
181,736
|
|
|
$
|
178,851
|
|
|
$
|
173,528
|
|
Reconciliation of period-end common shareholders’ equity to period-end tangible common shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Common shareholders’ equity
|
$
|
241,620
|
|
|
$
|
244,863
|
|
|
$
|
242,206
|
|
|
$
|
238,662
|
|
|
$
|
233,903
|
|
|
$
|
233,588
|
|
|
$
|
229,251
|
|
|
$
|
228,011
|
|
Goodwill
|
(69,744
|
)
|
|
(69,744
|
)
|
|
(69,744
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,775
|
)
|
|
(69,776
|
)
|
||||||||
Intangible assets (excluding MSRs)
|
(2,989
|
)
|
|
(3,168
|
)
|
|
(3,352
|
)
|
|
(3,578
|
)
|
|
(3,768
|
)
|
|
(3,973
|
)
|
|
(4,188
|
)
|
|
(4,391
|
)
|
||||||||
Related deferred tax liabilities
|
1,545
|
|
|
1,588
|
|
|
1,637
|
|
|
1,667
|
|
|
1,716
|
|
|
1,762
|
|
|
1,813
|
|
|
1,900
|
|
||||||||
Tangible common shareholders’ equity
|
$
|
170,432
|
|
|
$
|
173,539
|
|
|
$
|
170,747
|
|
|
$
|
166,990
|
|
|
$
|
162,090
|
|
|
$
|
161,616
|
|
|
$
|
157,101
|
|
|
$
|
155,744
|
|
Reconciliation of period-end shareholders’ equity to period-end tangible shareholders’ equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Shareholders’ equity
|
$
|
266,840
|
|
|
$
|
270,083
|
|
|
$
|
267,426
|
|
|
$
|
263,004
|
|
|
$
|
256,176
|
|
|
$
|
255,861
|
|
|
$
|
251,524
|
|
|
$
|
250,284
|
|
Goodwill
|
(69,744
|
)
|
|
(69,744
|
)
|
|
(69,744
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,775
|
)
|
|
(69,776
|
)
|
||||||||
Intangible assets (excluding MSRs)
|
(2,989
|
)
|
|
(3,168
|
)
|
|
(3,352
|
)
|
|
(3,578
|
)
|
|
(3,768
|
)
|
|
(3,973
|
)
|
|
(4,188
|
)
|
|
(4,391
|
)
|
||||||||
Related deferred tax liabilities
|
1,545
|
|
|
1,588
|
|
|
1,637
|
|
|
1,667
|
|
|
1,716
|
|
|
1,762
|
|
|
1,813
|
|
|
1,900
|
|
||||||||
Tangible shareholders’ equity
|
$
|
195,652
|
|
|
$
|
198,759
|
|
|
$
|
195,967
|
|
|
$
|
191,332
|
|
|
$
|
184,363
|
|
|
$
|
183,889
|
|
|
$
|
179,374
|
|
|
$
|
178,017
|
|
Reconciliation of period-end assets to period-end tangible assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Assets
|
$
|
2,187,702
|
|
|
$
|
2,195,314
|
|
|
$
|
2,186,966
|
|
|
$
|
2,185,726
|
|
|
$
|
2,144,287
|
|
|
$
|
2,152,962
|
|
|
$
|
2,148,899
|
|
|
$
|
2,143,644
|
|
Goodwill
|
(69,744
|
)
|
|
(69,744
|
)
|
|
(69,744
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,761
|
)
|
|
(69,775
|
)
|
|
(69,776
|
)
|
||||||||
Intangible assets (excluding MSRs)
|
(2,989
|
)
|
|
(3,168
|
)
|
|
(3,352
|
)
|
|
(3,578
|
)
|
|
(3,768
|
)
|
|
(3,973
|
)
|
|
(4,188
|
)
|
|
(4,391
|
)
|
||||||||
Related deferred tax liabilities
|
1,545
|
|
|
1,588
|
|
|
1,637
|
|
|
1,667
|
|
|
1,716
|
|
|
1,762
|
|
|
1,813
|
|
|
1,900
|
|
||||||||
Tangible assets
|
$
|
2,116,514
|
|
|
$
|
2,123,990
|
|
|
$
|
2,115,507
|
|
|
$
|
2,114,054
|
|
|
$
|
2,072,474
|
|
|
$
|
2,080,990
|
|
|
$
|
2,076,749
|
|
|
$
|
2,071,377
|
|
(1)
|
Presents reconciliations of non-GAAP financial measures to GAAP financial measures. We believe the use of these non-GAAP financial measures provides additional clarity in assessing the results of the Corporation. Other companies may define or calculate these measures differently. For more information on non-GAAP financial measures and ratios we use in assessing the results of the Corporation, see
Supplemental Financial Data
on page
27
.
|
|
|
Bank of America 2016
109
|
110
Bank of America 2016
|
|
|
|
|
Bank of America 2016
111
|
ICAAP
|
Internal Capital Adequacy Assessment Process
|
IMM
|
Internal models methodology
|
IRLC
|
Interest rate lock commitment
|
IRM
|
Independent risk management
|
ISDA
|
International Swaps and Derivatives Association, Inc.
|
LCR
|
Liquidity Coverage Ratio
|
LGD
|
Loss given default
|
LHFS
|
Loans held-for-sale
|
LIBOR
|
London InterBank Offered Rate
|
LTV
|
Loan-to-value
|
MBS
|
Mortgage-backed securities
|
MD&A
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
MI
|
Mortgage insurance
|
MLGWM
|
Merrill Lynch Global Wealth Management
|
MLI
|
Merrill Lynch International
|
MLPCC
|
Merrill Lynch Professional Clearing Corp
|
MLPF&S
|
Merrill Lynch, Pierce, Fenner & Smith Incorporated
|
MRC
|
Management Risk Committee
|
MSA
|
Metropolitan Statistical Area
|
MSR
|
Mortgage servicing right
|
NPR
|
Notice of proposed rulemaking
|
NSFR
|
Net Stable Funding Ratio
|
OAS
|
Option-adjusted spread
|
OCC
|
Office of the Comptroller of the Currency
|
OCI
|
Other comprehensive income
|
OTC
|
Over-the-counter
|
OTTI
|
Other-than-temporary impairment
|
PCA
|
Prompt Corrective Action
|
PCI
|
Purchased credit-impaired
|
PPI
|
Payment protection insurance
|
RCSAs
|
Risk and Control Self Assessments
|
RMBS
|
Residential mortgage-backed securities
|
RSU
|
Restricted stock unit
|
SBLC
|
Standby letter of credit
|
SCCL
|
Single-Counterparty Credit Limits
|
SEC
|
Securities and Exchange Commission
|
SLR
|
Supplementary leverage ratio
|
TDR
|
Troubled debt restructurings
|
TLAC
|
Total Loss-Absorbing Capacity
|
VA
|
U.S. Department of Veterans Affairs
|
VaR
|
Value-at-Risk
|
VIE
|
Variable interest entity
|
112
Bank of America 2016
|
|
|
Item 8. Financial Statements and Supplementary Data
|
|
|
|
Table of Contents
|
|
|
|
|
Page
|
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
||
|
|
|
Bank of America 2016
113
|
114
Bank of America 2016
|
|
|
|
|
Bank of America 2016
115
|
|
|
|
|
|
|
||||||
Consolidated Statement of Income
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions, except per share information)
|
2016
|
|
2015
|
|
2014
|
||||||
Interest income
|
|
|
|
|
|
|
|
|
|||
Loans and leases
|
$
|
33,228
|
|
|
$
|
31,918
|
|
|
$
|
34,145
|
|
Debt securities
|
9,167
|
|
|
9,178
|
|
|
9,010
|
|
|||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
1,118
|
|
|
988
|
|
|
1,039
|
|
|||
Trading account assets
|
4,423
|
|
|
4,397
|
|
|
4,561
|
|
|||
Other interest income
|
3,121
|
|
|
3,026
|
|
|
2,959
|
|
|||
Total interest income
|
51,057
|
|
|
49,507
|
|
|
51,714
|
|
|||
|
|
|
|
|
|
||||||
Interest expense
|
|
|
|
|
|
|
|
|
|||
Deposits
|
1,015
|
|
|
861
|
|
|
1,080
|
|
|||
Short-term borrowings
|
2,350
|
|
|
2,387
|
|
|
2,579
|
|
|||
Trading account liabilities
|
1,018
|
|
|
1,343
|
|
|
1,576
|
|
|||
Long-term debt
|
5,578
|
|
|
5,958
|
|
|
5,700
|
|
|||
Total interest expense
|
9,961
|
|
|
10,549
|
|
|
10,935
|
|
|||
Net interest income
|
41,096
|
|
|
38,958
|
|
|
40,779
|
|
|||
|
|
|
|
|
|
||||||
Noninterest income
|
|
|
|
|
|
|
|
|
|||
Card income
|
5,851
|
|
|
5,959
|
|
|
5,944
|
|
|||
Service charges
|
7,638
|
|
|
7,381
|
|
|
7,443
|
|
|||
Investment and brokerage services
|
12,745
|
|
|
13,337
|
|
|
13,284
|
|
|||
Investment banking income
|
5,241
|
|
|
5,572
|
|
|
6,065
|
|
|||
Trading account profits
|
6,902
|
|
|
6,473
|
|
|
6,309
|
|
|||
Mortgage banking income
|
1,853
|
|
|
2,364
|
|
|
1,563
|
|
|||
Gains on sales of debt securities
|
490
|
|
|
1,138
|
|
|
1,481
|
|
|||
Other income
|
1,885
|
|
|
1,783
|
|
|
3,026
|
|
|||
Total noninterest income
|
42,605
|
|
|
44,007
|
|
|
45,115
|
|
|||
Total revenue, net of interest expense
|
83,701
|
|
|
82,965
|
|
|
85,894
|
|
|||
|
|
|
|
|
|
||||||
Provision for credit losses
|
3,597
|
|
|
3,161
|
|
|
2,275
|
|
|||
|
|
|
|
|
|
||||||
Noninterest expense
|
|
|
|
|
|
|
|
||||
Personnel
|
31,616
|
|
|
32,868
|
|
|
33,787
|
|
|||
Occupancy
|
4,038
|
|
|
4,093
|
|
|
4,260
|
|
|||
Equipment
|
1,804
|
|
|
2,039
|
|
|
2,125
|
|
|||
Marketing
|
1,703
|
|
|
1,811
|
|
|
1,829
|
|
|||
Professional fees
|
1,971
|
|
|
2,264
|
|
|
2,472
|
|
|||
Amortization of intangibles
|
730
|
|
|
834
|
|
|
936
|
|
|||
Data processing
|
3,007
|
|
|
3,115
|
|
|
3,144
|
|
|||
Telecommunications
|
746
|
|
|
823
|
|
|
1,259
|
|
|||
Other general operating
|
9,336
|
|
|
9,887
|
|
|
25,844
|
|
|||
Total noninterest expense
|
54,951
|
|
|
57,734
|
|
|
75,656
|
|
|||
Income before income taxes
|
25,153
|
|
|
22,070
|
|
|
7,963
|
|
|||
Income tax expense
|
7,247
|
|
|
6,234
|
|
|
2,443
|
|
|||
Net income
|
$
|
17,906
|
|
|
$
|
15,836
|
|
|
$
|
5,520
|
|
Preferred stock dividends
|
1,682
|
|
|
1,483
|
|
|
1,044
|
|
|||
Net income applicable to common shareholders
|
$
|
16,224
|
|
|
$
|
14,353
|
|
|
$
|
4,476
|
|
|
|
|
|
|
|
||||||
Per common share information
|
|
|
|
|
|
|
|
|
|||
Earnings
|
$
|
1.58
|
|
|
$
|
1.37
|
|
|
$
|
0.43
|
|
Diluted earnings
|
1.50
|
|
|
1.31
|
|
|
0.42
|
|
|||
Dividends paid
|
0.25
|
|
|
0.20
|
|
|
0.12
|
|
|||
Average common shares issued and outstanding (in thousands)
|
10,284,147
|
|
|
10,462,282
|
|
|
10,527,818
|
|
|||
Average diluted common shares issued and outstanding (in thousands)
|
11,035,657
|
|
|
11,213,992
|
|
|
10,584,535
|
|
116
Bank of America 2016
|
|
|
|
|
|
|
|
|
||||||
Consolidated Statement of Comprehensive Income
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Net income
|
$
|
17,906
|
|
|
$
|
15,836
|
|
|
$
|
5,520
|
|
Other comprehensive income (loss), net-of-tax:
|
|
|
|
|
|
||||||
Net change in debt and marketable equity securities
|
(1,345
|
)
|
|
(1,580
|
)
|
|
4,149
|
|
|||
Net change in debit valuation adjustments
|
(156
|
)
|
|
615
|
|
|
—
|
|
|||
Net change in derivatives
|
182
|
|
|
584
|
|
|
616
|
|
|||
Employee benefit plan adjustments
|
(524
|
)
|
|
394
|
|
|
(943
|
)
|
|||
Net change in foreign currency translation adjustments
|
(87
|
)
|
|
(123
|
)
|
|
(157
|
)
|
|||
Other comprehensive income (loss)
|
(1,930
|
)
|
|
(110
|
)
|
|
3,665
|
|
|||
Comprehensive income
|
$
|
15,976
|
|
|
$
|
15,726
|
|
|
$
|
9,185
|
|
|
|
Bank of America 2016
117
|
118
Bank of America 2016
|
|
|
|
|
|
|
||||
Consolidated Balance Sheet (continued)
|
|||||||
|
|
||||||
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Liabilities
|
|
|
|
|
|
||
Deposits in U.S. offices:
|
|
|
|
|
|
||
Noninterest-bearing
|
$
|
438,125
|
|
|
$
|
422,237
|
|
Interest-bearing (includes
$731
and $1,116 measured at fair value)
|
750,891
|
|
|
703,761
|
|
||
Deposits in non-U.S. offices:
|
|
|
|
|
|||
Noninterest-bearing
|
12,039
|
|
|
9,916
|
|
||
Interest-bearing
|
59,879
|
|
|
61,345
|
|
||
Total deposits
|
1,260,934
|
|
|
1,197,259
|
|
||
Federal funds purchased and securities loaned or sold under agreements to repurchase (includes
$35,766
and $24,574 measured at fair value)
|
170,291
|
|
|
174,291
|
|
||
Trading account liabilities
|
63,031
|
|
|
66,963
|
|
||
Derivative liabilities
|
39,480
|
|
|
38,450
|
|
||
Short-term borrowings (includes
$2,024
and $1,325 measured at fair value)
|
23,944
|
|
|
28,098
|
|
||
Accrued expenses and other liabilities (includes
$14,630
and $13,899 measured at fair value and
$762
and $646 of reserve for unfunded lending commitments)
|
146,359
|
|
|
146,286
|
|
||
Long-term debt (includes
$30,037
and $30,097 measured at fair value)
|
216,823
|
|
|
236,764
|
|
||
Total liabilities
|
1,920,862
|
|
|
1,888,111
|
|
||
Commitments and contingencies
(Note 6 – Securitizations and Other Variable Interest Entities, Note 7 – Representations and Warranties Obligations and Corporate Guarantees
and
Note 12 – Commitments and Contingencies)
|
|
|
|
|
|
||
Shareholders’ equity
|
|
|
|
|
|
||
Preferred stock, $0.01 par value; authorized –
100,000,000
shares; issued and outstanding –
3,887,329
and 3,767,790 shares
|
25,220
|
|
|
22,273
|
|
||
Common stock and additional paid-in capital, $0.01 par value; authorized –
12,800,000,000
shares; issued and outstanding –
10,052,625,604
and 10,380,265,063 shares
|
147,038
|
|
|
151,042
|
|
||
Retained earnings
|
101,870
|
|
|
88,219
|
|
||
Accumulated other comprehensive income (loss)
|
(7,288
|
)
|
|
(5,358
|
)
|
||
Total shareholders’ equity
|
266,840
|
|
|
256,176
|
|
||
Total liabilities and shareholders’ equity
|
$
|
2,187,702
|
|
|
$
|
2,144,287
|
|
|
|
|
|
||||
Liabilities of consolidated variable interest entities included in total liabilities above
|
|
|
|
|
|
||
Short-term borrowings
|
$
|
348
|
|
|
$
|
681
|
|
Long-term debt (includes
$10,417
and $11,304 of non-recourse debt)
|
10,646
|
|
|
14,073
|
|
||
All other liabilities (includes
$38
and $20 of non-recourse liabilities)
|
41
|
|
|
21
|
|
||
Total liabilities of consolidated variable interest entities
|
$
|
11,035
|
|
|
$
|
14,775
|
|
|
|
Bank of America 2016
119
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Consolidated Statement of Changes in Shareholders’ Equity
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
|
Preferred
Stock
|
|
Common Stock and
Additional Paid-in
Capital
|
|
Retained
Earnings
|
|
Accumulated
Other
Comprehensive
Income (Loss)
|
|
Total
Shareholders’
Equity
|
|||||||||||||
(Dollars in millions, shares in thousands)
|
|
Shares
|
|
Amount
|
|
|
|
|||||||||||||||
Balance, December 31, 2013
|
$
|
13,352
|
|
|
10,591,808
|
|
|
$
|
155,293
|
|
|
$
|
71,517
|
|
|
$
|
(7,687
|
)
|
|
$
|
232,475
|
|
Net income
|
|
|
|
|
|
|
|
|
|
5,520
|
|
|
|
|
5,520
|
|
||||||
Net change in debt and marketable equity securities
|
|
|
|
|
|
|
|
|
|
|
|
|
4,149
|
|
|
4,149
|
|
|||||
Net change in derivatives
|
|
|
|
|
|
|
|
|
|
|
|
|
616
|
|
|
616
|
|
|||||
Employee benefit plan adjustments
|
|
|
|
|
|
|
|
|
|
|
|
|
(943
|
)
|
|
(943
|
)
|
|||||
Net change in foreign currency translation adjustments
|
|
|
|
|
|
|
|
|
|
|
|
(157
|
)
|
|
(157
|
)
|
||||||
Dividends declared:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Common
|
|
|
|
|
|
|
|
(1,262
|
)
|
|
|
|
|
(1,262
|
)
|
|||||||
Preferred
|
|
|
|
|
|
|
|
|
(1,044
|
)
|
|
|
|
|
(1,044
|
)
|
||||||
Issuance of preferred stock
|
5,957
|
|
|
|
|
|
|
|
|
|
|
5,957
|
|
|||||||||
Common stock issued under employee plans and related tax effects
|
|
|
25,866
|
|
|
(160
|
)
|
|
|
|
|
|
|
|
(160
|
)
|
||||||
Common stock repurchased
|
|
|
(101,132
|
)
|
|
(1,675
|
)
|
|
|
|
|
|
(1,675
|
)
|
||||||||
Balance, December 31, 2014
|
19,309
|
|
|
10,516,542
|
|
|
153,458
|
|
|
74,731
|
|
|
(4,022
|
)
|
|
243,476
|
|
|||||
Cumulative adjustment for accounting change related to debit valuation adjustments
|
|
|
|
|
|
|
1,226
|
|
|
(1,226
|
)
|
|
—
|
|
||||||||
Net income
|
|
|
|
|
|
|
15,836
|
|
|
|
|
15,836
|
|
|||||||||
Net change in debt and marketable equity securities
|
|
|
|
|
|
|
|
|
(1,580
|
)
|
|
(1,580
|
)
|
|||||||||
Net change in debit valuation adjustments
|
|
|
|
|
|
|
|
|
615
|
|
|
615
|
|
|||||||||
Net change in derivatives
|
|
|
|
|
|
|
|
|
584
|
|
|
584
|
|
|||||||||
Employee benefit plan adjustments
|
|
|
|
|
|
|
|
|
394
|
|
|
394
|
|
|||||||||
Net change in foreign currency translation adjustments
|
|
|
|
|
|
|
|
|
(123
|
)
|
|
(123
|
)
|
|||||||||
Dividends declared:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Common
|
|
|
|
|
|
|
(2,091
|
)
|
|
|
|
(2,091
|
)
|
|||||||||
Preferred
|
|
|
|
|
|
|
(1,483
|
)
|
|
|
|
(1,483
|
)
|
|||||||||
Issuance of preferred stock
|
2,964
|
|
|
|
|
|
|
|
|
|
|
2,964
|
|
|||||||||
Common stock issued under employee plans and related tax effects
|
|
|
4,054
|
|
|
(42
|
)
|
|
|
|
|
|
(42
|
)
|
||||||||
Common stock repurchased
|
|
|
(140,331
|
)
|
|
(2,374
|
)
|
|
|
|
|
|
(2,374
|
)
|
||||||||
Balance, December 31, 2015
|
22,273
|
|
|
10,380,265
|
|
|
151,042
|
|
|
88,219
|
|
|
(5,358
|
)
|
|
256,176
|
|
|||||
Net income
|
|
|
|
|
|
|
17,906
|
|
|
|
|
17,906
|
|
|||||||||
Net change in debt and marketable equity securities
|
|
|
|
|
|
|
|
|
(1,345
|
)
|
|
(1,345
|
)
|
|||||||||
Net change in debit valuation adjustments
|
|
|
|
|
|
|
|
|
(156
|
)
|
|
(156
|
)
|
|||||||||
Net change in derivatives
|
|
|
|
|
|
|
|
|
182
|
|
|
182
|
|
|||||||||
Employee benefit plan adjustments
|
|
|
|
|
|
|
|
|
(524
|
)
|
|
(524
|
)
|
|||||||||
Net change in foreign currency translation adjustments
|
|
|
|
|
|
|
|
|
(87
|
)
|
|
(87
|
)
|
|||||||||
Dividends declared:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Common
|
|
|
|
|
|
|
(2,573
|
)
|
|
|
|
(2,573
|
)
|
|||||||||
Preferred
|
|
|
|
|
|
|
(1,682
|
)
|
|
|
|
(1,682
|
)
|
|||||||||
Issuance of preferred stock
|
2,947
|
|
|
|
|
|
|
|
|
|
|
2,947
|
|
|||||||||
Common stock issued under employee plans and related tax effects
|
|
|
5,111
|
|
|
1,108
|
|
|
|
|
|
|
1,108
|
|
||||||||
Common stock repurchased
|
|
|
(332,750
|
)
|
|
(5,112
|
)
|
|
|
|
|
|
(5,112
|
)
|
||||||||
Balance, December 31, 2016
|
$
|
25,220
|
|
|
10,052,626
|
|
|
$
|
147,038
|
|
|
$
|
101,870
|
|
|
$
|
(7,288
|
)
|
|
$
|
266,840
|
|
120
Bank of America 2016
|
|
|
|
|
|
|
|
|
||||||
Consolidated Statement of Cash Flows
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Operating activities
|
|
|
|
|
|
|
|
|
|||
Net income
|
$
|
17,906
|
|
|
$
|
15,836
|
|
|
$
|
5,520
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|||
Provision for credit losses
|
3,597
|
|
|
3,161
|
|
|
2,275
|
|
|||
Gains on sales of debt securities
|
(490
|
)
|
|
(1,138
|
)
|
|
(1,481
|
)
|
|||
Realized debit valuation adjustments on structured liabilities
|
17
|
|
|
556
|
|
|
—
|
|
|||
Depreciation and premises improvements amortization
|
1,511
|
|
|
1,555
|
|
|
1,586
|
|
|||
Amortization of intangibles
|
730
|
|
|
834
|
|
|
936
|
|
|||
Net amortization of premium/discount on debt securities
|
3,134
|
|
|
2,613
|
|
|
1,699
|
|
|||
Deferred income taxes
|
5,841
|
|
|
2,924
|
|
|
1,147
|
|
|||
Stock-based compensation
|
1,235
|
|
|
28
|
|
|
78
|
|
|||
Loans held-for-sale:
|
|
|
|
|
|
||||||
Originations and purchases
|
(33,107
|
)
|
|
(37,933
|
)
|
|
(39,358
|
)
|
|||
Proceeds from sales and paydowns of loans originally classified as held-for-sale
|
31,376
|
|
|
36,204
|
|
|
38,528
|
|
|||
Net change in:
|
|
|
|
|
|
||||||
Trading and derivative instruments
|
(866
|
)
|
|
2,550
|
|
|
5,866
|
|
|||
Other assets
|
(13,802
|
)
|
|
2,645
|
|
|
5,894
|
|
|||
Accrued expenses and other liabilities
|
(35
|
)
|
|
730
|
|
|
9,702
|
|
|||
Other operating activities, net
|
1,259
|
|
|
(2,218
|
)
|
|
(1,597
|
)
|
|||
Net cash provided by operating activities
|
18,306
|
|
|
28,347
|
|
|
30,795
|
|
|||
Investing activities
|
|
|
|
|
|
|
|
|
|||
Net change in:
|
|
|
|
|
|
||||||
Time deposits placed and other short-term investments
|
(2,117
|
)
|
|
50
|
|
|
4,030
|
|
|||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
(5,742
|
)
|
|
(659
|
)
|
|
(1,495
|
)
|
|||
Debt securities carried at fair value:
|
|
|
|
|
|
||||||
Proceeds from sales
|
79,371
|
|
|
145,079
|
|
|
126,399
|
|
|||
Proceeds from paydowns and maturities
|
100,768
|
|
|
84,988
|
|
|
79,704
|
|
|||
Purchases
|
(189,061
|
)
|
|
(219,412
|
)
|
|
(247,902
|
)
|
|||
Held-to-maturity debt securities:
|
|
|
|
|
|
||||||
Proceeds from paydowns and maturities
|
18,677
|
|
|
12,872
|
|
|
7,889
|
|
|||
Purchases
|
(39,899
|
)
|
|
(36,575
|
)
|
|
(13,274
|
)
|
|||
Loans and leases:
|
|
|
|
|
|
||||||
Proceeds from sales
|
18,230
|
|
|
22,316
|
|
|
28,765
|
|
|||
Purchases
|
(12,283
|
)
|
|
(12,629
|
)
|
|
(10,609
|
)
|
|||
Other changes in loans and leases, net
|
(31,194
|
)
|
|
(51,895
|
)
|
|
19,160
|
|
|||
Proceeds from sales of equity investments
|
299
|
|
|
333
|
|
|
1,577
|
|
|||
Other investing activities, net
|
(192
|
)
|
|
(39
|
)
|
|
(2,504
|
)
|
|||
Net cash used in investing activities
|
(63,143
|
)
|
|
(55,571
|
)
|
|
(8,260
|
)
|
|||
Financing activities
|
|
|
|
|
|
|
|
|
|||
Net change in:
|
|
|
|
|
|
||||||
Deposits
|
63,675
|
|
|
78,347
|
|
|
(335
|
)
|
|||
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
(4,000
|
)
|
|
(26,986
|
)
|
|
3,171
|
|
|||
Short-term borrowings
|
(4,014
|
)
|
|
(3,074
|
)
|
|
(14,827
|
)
|
|||
Long-term debt:
|
|
|
|
|
|
||||||
Proceeds from issuance
|
35,537
|
|
|
43,670
|
|
|
51,573
|
|
|||
Retirement of long-term debt
|
(51,849
|
)
|
|
(40,365
|
)
|
|
(53,749
|
)
|
|||
Preferred stock: Proceeds from issuance
|
2,947
|
|
|
2,964
|
|
|
5,957
|
|
|||
Common stock repurchased
|
(5,112
|
)
|
|
(2,374
|
)
|
|
(1,675
|
)
|
|||
Cash dividends paid
|
(4,194
|
)
|
|
(3,574
|
)
|
|
(2,306
|
)
|
|||
Excess tax benefits on share-based payments
|
14
|
|
|
16
|
|
|
34
|
|
|||
Other financing activities, net
|
(22
|
)
|
|
(39
|
)
|
|
(44
|
)
|
|||
Net cash provided by (used in) financing activities
|
32,982
|
|
|
48,585
|
|
|
(12,201
|
)
|
|||
Effect of exchange rate changes on cash and cash equivalents
|
240
|
|
|
(597
|
)
|
|
(3,067
|
)
|
|||
Net increase (decrease) in cash and cash equivalents
|
(11,615
|
)
|
|
20,764
|
|
|
7,267
|
|
|||
Cash and cash equivalents at January 1
|
159,353
|
|
|
138,589
|
|
|
131,322
|
|
|||
Cash and cash equivalents at December 31
|
$
|
147,738
|
|
|
$
|
159,353
|
|
|
$
|
138,589
|
|
Supplemental cash flow disclosures
|
|
|
|
|
|
|
|
|
|||
Interest paid
|
$
|
10,510
|
|
|
$
|
10,623
|
|
|
$
|
11,082
|
|
Income taxes paid
|
1,633
|
|
|
2,326
|
|
|
2,558
|
|
|||
Income taxes refunded
|
(590
|
)
|
|
(151
|
)
|
|
(144
|
)
|
|
|
Bank of America 2016
121
|
122
Bank of America 2016
|
|
|
|
|
Bank of America 2016
123
|
124
Bank of America 2016
|
|
|
|
|
Bank of America 2016
125
|
126
Bank of America 2016
|
|
|
|
|
Bank of America 2016
127
|
128
Bank of America 2016
|
|
|
Level 1
|
Unadjusted quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include debt and equity securities and derivative contracts that are traded in an active exchange market, as well as certain U.S. Treasury securities that are highly liquid and are actively traded in OTC markets.
|
Level 2
|
Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include debt securities with quoted prices that are traded less frequently than exchange-traded instruments and derivative contracts where fair value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data. This category generally includes U.S. government and agency mortgage-backed (MBS) and asset-backed securities (ABS), corporate debt securities, derivative contracts, certain loans and LHFS.
|
Level 3
|
Unobservable inputs that are supported by little or no market activity and that are significant to the overall fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments for which the determination of fair value requires significant management judgment or estimation. The fair value for such assets and liabilities is generally determined using pricing models, discounted cash flow methodologies or similar techniques that incorporate the assumptions a market participant would use in pricing the asset or liability. This category generally includes retained residual interests in securitizations, consumer MSRs, certain ABS, highly structured, complex or long-dated derivative contracts, certain loans and LHFS, IRLCs and certain CDOs where independent pricing information cannot be obtained for a significant portion of the underlying assets.
|
|
|
Bank of America 2016
129
|
130
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
|
|
December 31, 2016
|
||||||||||||||||||||||||
|
|
|
Gross Derivative Assets
|
|
Gross Derivative Liabilities
|
||||||||||||||||||||||
(Dollars in billions)
|
Contract/
Notional
(1)
|
|
Trading and Other Risk Management Derivatives
|
|
Qualifying
Accounting
Hedges
|
|
Total
|
|
Trading and Other Risk Management Derivatives
|
|
Qualifying
Accounting
Hedges
|
|
Total
|
||||||||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
$
|
16,977.7
|
|
|
$
|
385.0
|
|
|
$
|
5.9
|
|
|
$
|
390.9
|
|
|
$
|
386.9
|
|
|
$
|
2.0
|
|
|
$
|
388.9
|
|
Futures and forwards
|
5,609.5
|
|
|
2.2
|
|
|
—
|
|
|
2.2
|
|
|
2.1
|
|
|
—
|
|
|
2.1
|
|
|||||||
Written options
|
1,146.2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
52.2
|
|
|
—
|
|
|
52.2
|
|
|||||||
Purchased options
|
1,178.7
|
|
|
53.3
|
|
|
—
|
|
|
53.3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Foreign exchange contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
1,828.6
|
|
|
54.6
|
|
|
4.2
|
|
|
58.8
|
|
|
58.8
|
|
|
6.2
|
|
|
65.0
|
|
|||||||
Spot, futures and forwards
|
3,410.7
|
|
|
58.8
|
|
|
1.7
|
|
|
60.5
|
|
|
56.6
|
|
|
0.8
|
|
|
57.4
|
|
|||||||
Written options
|
356.6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9.4
|
|
|
—
|
|
|
9.4
|
|
|||||||
Purchased options
|
342.4
|
|
|
8.9
|
|
|
—
|
|
|
8.9
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Equity contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
189.7
|
|
|
3.4
|
|
|
—
|
|
|
3.4
|
|
|
4.0
|
|
|
—
|
|
|
4.0
|
|
|||||||
Futures and forwards
|
68.7
|
|
|
0.9
|
|
|
—
|
|
|
0.9
|
|
|
0.9
|
|
|
—
|
|
|
0.9
|
|
|||||||
Written options
|
431.5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
21.4
|
|
|
—
|
|
|
21.4
|
|
|||||||
Purchased options
|
385.5
|
|
|
23.9
|
|
|
—
|
|
|
23.9
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Commodity contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
48.2
|
|
|
2.5
|
|
|
—
|
|
|
2.5
|
|
|
5.1
|
|
|
—
|
|
|
5.1
|
|
|||||||
Futures and forwards
|
49.1
|
|
|
3.6
|
|
|
—
|
|
|
3.6
|
|
|
0.5
|
|
|
—
|
|
|
0.5
|
|
|||||||
Written options
|
29.3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1.9
|
|
|
—
|
|
|
1.9
|
|
|||||||
Purchased options
|
28.9
|
|
|
2.0
|
|
|
—
|
|
|
2.0
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Credit derivatives
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Purchased credit derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Credit default swaps
|
604.0
|
|
|
8.1
|
|
|
—
|
|
|
8.1
|
|
|
10.3
|
|
|
—
|
|
|
10.3
|
|
|||||||
Total return swaps/other
|
21.2
|
|
|
0.4
|
|
|
—
|
|
|
0.4
|
|
|
1.5
|
|
|
—
|
|
|
1.5
|
|
|||||||
Written credit derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Credit default swaps
|
614.4
|
|
|
10.7
|
|
|
—
|
|
|
10.7
|
|
|
7.5
|
|
|
—
|
|
|
7.5
|
|
|||||||
Total return swaps/other
|
25.4
|
|
|
1.0
|
|
|
—
|
|
|
1.0
|
|
|
0.2
|
|
|
—
|
|
|
0.2
|
|
|||||||
Gross derivative assets/liabilities
|
|
|
|
$
|
619.3
|
|
|
$
|
11.8
|
|
|
$
|
631.1
|
|
|
$
|
619.3
|
|
|
$
|
9.0
|
|
|
$
|
628.3
|
|
|
Less: Legally enforceable master netting agreements
|
|
|
|
|
|
|
|
|
|
(545.3
|
)
|
|
|
|
|
|
|
|
(545.3
|
)
|
|||||||
Less: Cash collateral received/paid
|
|
|
|
|
|
|
|
|
|
(43.3
|
)
|
|
|
|
|
|
|
|
(43.5
|
)
|
|||||||
Total derivative assets/liabilities
|
|
|
|
|
|
|
|
|
|
$
|
42.5
|
|
|
|
|
|
|
|
|
$
|
39.5
|
|
(1)
|
Represents the total contract/notional amount of derivative assets and liabilities outstanding.
|
|
|
Bank of America 2016
131
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
|
|
December 31, 2015
|
||||||||||||||||||||||||
|
|
|
Gross Derivative Assets
|
|
Gross Derivative Liabilities
|
||||||||||||||||||||||
(Dollars in billions)
|
Contract/
Notional
(1)
|
|
Trading and Other Risk Management Derivatives
|
|
Qualifying
Accounting
Hedges
|
|
Total
|
|
Trading and Other Risk Management Derivatives
|
|
Qualifying
Accounting
Hedges
|
|
Total
|
||||||||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
$
|
21,706.8
|
|
|
$
|
439.6
|
|
|
$
|
7.4
|
|
|
$
|
447.0
|
|
|
$
|
440.8
|
|
|
$
|
1.2
|
|
|
$
|
442.0
|
|
Futures and forwards
|
6,237.6
|
|
|
1.1
|
|
|
—
|
|
|
1.1
|
|
|
1.3
|
|
|
—
|
|
|
1.3
|
|
|||||||
Written options
|
1,313.8
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
57.6
|
|
|
—
|
|
|
57.6
|
|
|||||||
Purchased options
|
1,393.3
|
|
|
58.9
|
|
|
—
|
|
|
58.9
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Foreign exchange contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
2,149.9
|
|
|
49.2
|
|
|
0.9
|
|
|
50.1
|
|
|
52.2
|
|
|
2.8
|
|
|
55.0
|
|
|||||||
Spot, futures and forwards
|
4,104.3
|
|
|
46.0
|
|
|
1.2
|
|
|
47.2
|
|
|
45.8
|
|
|
0.3
|
|
|
46.1
|
|
|||||||
Written options
|
467.2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10.6
|
|
|
—
|
|
|
10.6
|
|
|||||||
Purchased options
|
439.9
|
|
|
10.2
|
|
|
—
|
|
|
10.2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Equity contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
201.2
|
|
|
3.3
|
|
|
—
|
|
|
3.3
|
|
|
3.8
|
|
|
—
|
|
|
3.8
|
|
|||||||
Futures and forwards
|
72.8
|
|
|
2.1
|
|
|
—
|
|
|
2.1
|
|
|
1.2
|
|
|
—
|
|
|
1.2
|
|
|||||||
Written options
|
347.6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
21.1
|
|
|
—
|
|
|
21.1
|
|
|||||||
Purchased options
|
320.3
|
|
|
23.8
|
|
|
—
|
|
|
23.8
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Commodity contracts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Swaps
|
47.0
|
|
|
4.7
|
|
|
—
|
|
|
4.7
|
|
|
7.1
|
|
|
—
|
|
|
7.1
|
|
|||||||
Futures and forwards
|
45.6
|
|
|
3.8
|
|
|
—
|
|
|
3.8
|
|
|
0.7
|
|
|
—
|
|
|
0.7
|
|
|||||||
Written options
|
36.6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4.4
|
|
|
—
|
|
|
4.4
|
|
|||||||
Purchased options
|
37.4
|
|
|
4.2
|
|
|
—
|
|
|
4.2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Credit derivatives
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Purchased credit derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Credit default swaps
|
928.3
|
|
|
14.4
|
|
|
—
|
|
|
14.4
|
|
|
14.8
|
|
|
—
|
|
|
14.8
|
|
|||||||
Total return swaps/other
|
26.4
|
|
|
0.2
|
|
|
—
|
|
|
0.2
|
|
|
1.9
|
|
|
—
|
|
|
1.9
|
|
|||||||
Written credit derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Credit default swaps
|
924.1
|
|
|
15.3
|
|
|
—
|
|
|
15.3
|
|
|
13.1
|
|
|
—
|
|
|
13.1
|
|
|||||||
Total return swaps/other
|
39.7
|
|
|
2.3
|
|
|
—
|
|
|
2.3
|
|
|
0.4
|
|
|
—
|
|
|
0.4
|
|
|||||||
Gross derivative assets/liabilities
|
|
|
|
$
|
679.1
|
|
|
$
|
9.5
|
|
|
$
|
688.6
|
|
|
$
|
676.8
|
|
|
$
|
4.3
|
|
|
$
|
681.1
|
|
|
Less: Legally enforceable master netting agreements
|
|
|
|
|
|
|
|
|
|
(596.7
|
)
|
|
|
|
|
|
|
|
(596.7
|
)
|
|||||||
Less: Cash collateral received/paid
|
|
|
|
|
|
|
|
|
|
(41.9
|
)
|
|
|
|
|
|
|
|
(45.9
|
)
|
|||||||
Total derivative assets/liabilities
|
|
|
|
|
|
|
|
|
|
$
|
50.0
|
|
|
|
|
|
|
|
|
$
|
38.5
|
|
(1)
|
Represents the total contract/notional amount of derivative assets and liabilities outstanding.
|
132
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
Offsetting of Derivatives
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||
(Dollars in billions)
|
Derivative
Assets
|
|
Derivative Liabilities
|
|
Derivative
Assets
|
|
Derivative Liabilities
|
||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
|
|
|
|
||||
Over-the-counter
|
$
|
267.3
|
|
|
$
|
258.2
|
|
|
$
|
309.3
|
|
|
$
|
297.2
|
|
Over-the-counter cleared
|
177.2
|
|
|
182.8
|
|
|
197.0
|
|
|
201.7
|
|
||||
Foreign exchange contracts
|
|
|
|
|
|
|
|
||||||||
Over-the-counter
|
124.3
|
|
|
126.7
|
|
|
103.2
|
|
|
107.5
|
|
||||
Over-the-counter cleared
|
0.3
|
|
|
0.3
|
|
|
0.1
|
|
|
0.1
|
|
||||
Equity contracts
|
|
|
|
|
|
|
|
||||||||
Over-the-counter
|
15.6
|
|
|
13.7
|
|
|
16.6
|
|
|
14.0
|
|
||||
Exchange-traded
|
11.4
|
|
|
10.8
|
|
|
10.0
|
|
|
9.2
|
|
||||
Commodity contracts
|
|
|
|
|
|
|
|
||||||||
Over-the-counter
|
3.7
|
|
|
4.9
|
|
|
7.3
|
|
|
8.9
|
|
||||
Exchange-traded
|
1.1
|
|
|
1.0
|
|
|
1.8
|
|
|
1.8
|
|
||||
Over-the-counter cleared
|
—
|
|
|
—
|
|
|
0.1
|
|
|
0.1
|
|
||||
Credit derivatives
|
|
|
|
|
|
|
|
||||||||
Over-the-counter
|
15.3
|
|
|
14.7
|
|
|
24.6
|
|
|
22.9
|
|
||||
Over-the-counter cleared
|
4.3
|
|
|
4.3
|
|
|
6.5
|
|
|
6.4
|
|
||||
Total gross derivative assets/liabilities, before netting
|
|
|
|
|
|
|
|
||||||||
Over-the-counter
|
426.2
|
|
|
418.2
|
|
|
461.0
|
|
|
450.5
|
|
||||
Exchange-traded
|
12.5
|
|
|
11.8
|
|
|
11.8
|
|
|
11.0
|
|
||||
Over-the-counter cleared
|
181.8
|
|
|
187.4
|
|
|
203.7
|
|
|
208.3
|
|
||||
Less: Legally enforceable master netting agreements and cash collateral received/paid
|
|
|
|
|
|
|
|
||||||||
Over-the-counter
|
(398.2
|
)
|
|
(392.6
|
)
|
|
(426.6
|
)
|
|
(425.7
|
)
|
||||
Exchange-traded
|
(8.9
|
)
|
|
(8.9
|
)
|
|
(8.7
|
)
|
|
(8.7
|
)
|
||||
Over-the-counter cleared
|
(181.5
|
)
|
|
(187.3
|
)
|
|
(203.3
|
)
|
|
(208.2
|
)
|
||||
Derivative assets/liabilities, after netting
|
31.9
|
|
|
28.6
|
|
|
37.9
|
|
|
27.2
|
|
||||
Other gross derivative assets/liabilities
(1)
|
10.6
|
|
|
10.9
|
|
|
12.1
|
|
|
11.3
|
|
||||
Total derivative assets/liabilities
|
42.5
|
|
|
39.5
|
|
|
50.0
|
|
|
38.5
|
|
||||
Less: Financial instruments collateral
(2)
|
(13.5
|
)
|
|
(10.5
|
)
|
|
(13.9
|
)
|
|
(6.5
|
)
|
||||
Total net derivative assets/liabilities
|
$
|
29.0
|
|
|
$
|
29.0
|
|
|
$
|
36.1
|
|
|
$
|
32.0
|
|
(1)
|
Consists of derivatives entered into under master netting agreements where the enforceability of these agreements is uncertain.
|
(2)
|
These amounts are limited to the derivative asset/liability balance and, accordingly, do not include excess collateral received/pledged.
|
|
|
Bank of America 2016
133
|
|
|
|
|||||||||
Derivatives Designated as Fair Value Hedges
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
Gains (Losses)
|
2016
|
||||||||||
(Dollars in millions)
|
Derivative
|
|
Hedged
Item
|
|
Hedge
Ineffectiveness
|
||||||
Interest rate risk on long-term debt
(1)
|
$
|
(1,488
|
)
|
|
$
|
646
|
|
|
$
|
(842
|
)
|
Interest rate and foreign currency risk on long-term debt
(1)
|
(941
|
)
|
|
944
|
|
|
3
|
|
|||
Interest rate risk on available-for-sale securities
(2)
|
227
|
|
|
(286
|
)
|
|
(59
|
)
|
|||
Price risk on commodity inventory
(3)
|
(17
|
)
|
|
17
|
|
|
—
|
|
|||
Total
|
$
|
(2,219
|
)
|
|
$
|
1,321
|
|
|
$
|
(898
|
)
|
|
|
|
|
|
|
||||||
|
2015
|
||||||||||
Interest rate risk on long-term debt
(1)
|
$
|
(718
|
)
|
|
$
|
(77
|
)
|
|
$
|
(795
|
)
|
Interest rate and foreign currency risk on long-term debt
(1)
|
(1,898
|
)
|
|
1,812
|
|
|
(86
|
)
|
|||
Interest rate risk on available-for-sale securities
(2)
|
105
|
|
|
(127
|
)
|
|
(22
|
)
|
|||
Price risk on commodity inventory
(3)
|
15
|
|
|
(11
|
)
|
|
4
|
|
|||
Total
|
$
|
(2,496
|
)
|
|
$
|
1,597
|
|
|
$
|
(899
|
)
|
|
|
|
|
|
|
||||||
|
2014
|
||||||||||
Interest rate risk on long-term debt
(1)
|
$
|
2,144
|
|
|
$
|
(2,935
|
)
|
|
$
|
(791
|
)
|
Interest rate and foreign currency risk on long-term debt
(1)
|
(2,212
|
)
|
|
2,120
|
|
|
(92
|
)
|
|||
Interest rate risk on available-for-sale securities
(2)
|
(35
|
)
|
|
3
|
|
|
(32
|
)
|
|||
Price risk on commodity inventory
(3)
|
21
|
|
|
(15
|
)
|
|
6
|
|
|||
Total
|
$
|
(82
|
)
|
|
$
|
(827
|
)
|
|
$
|
(909
|
)
|
(1)
|
Amounts are recorded in interest expense on long-term debt and in other income.
|
(2)
|
Amounts are recorded in interest income on debt securities.
|
(3)
|
Amounts relating to commodity inventory are recorded in trading account profits.
|
134
Bank of America 2016
|
|
|
|
|
|
|
|
|
||||||
Derivatives Designated as Cash Flow and Net Investment Hedges
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
|
2016
|
||||||||||
(Dollars in millions, amounts pretax)
|
Gains (Losses)
Recognized in Accumulated OCI
on Derivatives
|
|
Gains (Losses)
in Income Reclassified from
Accumulated OCI
|
|
Hedge
Ineffectiveness and Amounts Excluded from Effectiveness
Testing
(1)
|
||||||
Cash flow hedges
|
|
|
|
|
|
|
|
|
|||
Interest rate risk on variable-rate portfolios
|
$
|
(340
|
)
|
|
$
|
(553
|
)
|
|
$
|
1
|
|
Price risk on restricted stock awards
(2)
|
41
|
|
|
(32
|
)
|
|
—
|
|
|||
Total
|
$
|
(299
|
)
|
|
$
|
(585
|
)
|
|
$
|
1
|
|
Net investment hedges
|
|
|
|
|
|
|
|
|
|||
Foreign exchange risk
|
$
|
1,636
|
|
|
$
|
3
|
|
|
$
|
(325
|
)
|
|
|
|
|
|
|
||||||
|
2015
|
||||||||||
Cash flow hedges
|
|
|
|
|
|
|
|
|
|||
Interest rate risk on variable-rate portfolios
|
$
|
95
|
|
|
$
|
(974
|
)
|
|
$
|
(2
|
)
|
Price risk on restricted stock awards
(2)
|
(40
|
)
|
|
91
|
|
|
—
|
|
|||
Total
|
$
|
55
|
|
|
$
|
(883
|
)
|
|
$
|
(2
|
)
|
Net investment hedges
|
|
|
|
|
|
|
|
|
|||
Foreign exchange risk
|
$
|
3,010
|
|
|
$
|
153
|
|
|
$
|
(298
|
)
|
|
|
|
|
|
|
||||||
|
2014
|
||||||||||
Cash flow hedges
|
|
|
|
|
|
|
|
|
|||
Interest rate risk on variable-rate portfolios
|
$
|
68
|
|
|
$
|
(1,119
|
)
|
|
$
|
(4
|
)
|
Price risk on restricted stock awards
(2)
|
127
|
|
|
359
|
|
|
—
|
|
|||
Total
|
$
|
195
|
|
|
$
|
(760
|
)
|
|
$
|
(4
|
)
|
Net investment hedges
|
|
|
|
|
|
|
|
|
|||
Foreign exchange risk
|
$
|
3,021
|
|
|
$
|
21
|
|
|
$
|
(503
|
)
|
(1)
|
Amounts related to cash flow hedges represent hedge ineffectiveness and amounts related to net investment hedges represent amounts excluded from effectiveness testing.
|
(2)
|
The hedge gain (loss) recognized in accumulated OCI is primarily related to the change in the Corporation’s stock price for the period.
|
|
|
|
|
|
|
||||||
Other Risk Management Derivatives
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
Gains (Losses)
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Interest rate risk on mortgage banking income
(1)
|
$
|
461
|
|
|
$
|
254
|
|
|
$
|
1,017
|
|
Credit risk on loans
(2)
|
(107
|
)
|
|
(22
|
)
|
|
16
|
|
|||
Interest rate and foreign currency risk on ALM activities
(3)
|
(754
|
)
|
|
(222
|
)
|
|
(3,683
|
)
|
|||
Price risk on restricted stock awards
(4)
|
9
|
|
|
(267
|
)
|
|
600
|
|
|||
Other
|
5
|
|
|
11
|
|
|
(9
|
)
|
(1)
|
Net gains (losses) on these derivatives are recorded in mortgage banking income as they are used to mitigate the interest rate risk related to MSRs, IRLCs and mortgage loans held-for-sale, all of which are measured at fair value with changes in fair value recorded in mortgage banking income. The net gains on IRLCs related to the origination of mortgage loans that are held-for-sale, which are not included in the table but are considered derivative instruments, were
$533 million
,
$714 million
and
$776 million
for
2016
,
2015
and
2014
, respectively.
|
(2)
|
Primarily related to derivatives that are economic hedges of credit risk on loans. Net gains (losses) on these derivatives are recorded in other income.
|
(3)
|
Primarily related to hedges of debt securities carried at fair value and hedges of foreign currency-denominated debt. Gains (losses) on these derivatives and the related hedged items are recorded in other income.
|
(4)
|
Gains (losses) on these derivatives are recorded in personnel expense.
|
|
|
Bank of America 2016
135
|
136
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
Sales and Trading Revenue
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
2016
|
||||||||||||||
(Dollars in millions)
|
Trading Account Profits
|
|
Net Interest Income
|
|
Other
(1)
|
|
Total
|
||||||||
Interest rate risk
|
$
|
1,608
|
|
|
$
|
1,397
|
|
|
$
|
304
|
|
|
$
|
3,309
|
|
Foreign exchange risk
|
1,360
|
|
|
(10
|
)
|
|
(154
|
)
|
|
1,196
|
|
||||
Equity risk
|
1,915
|
|
|
15
|
|
|
2,072
|
|
|
4,002
|
|
||||
Credit risk
|
1,258
|
|
|
2,587
|
|
|
425
|
|
|
4,270
|
|
||||
Other risk
|
409
|
|
|
(20
|
)
|
|
40
|
|
|
429
|
|
||||
Total sales and trading revenue
|
$
|
6,550
|
|
|
$
|
3,969
|
|
|
$
|
2,687
|
|
|
$
|
13,206
|
|
|
|
|
|
|
|
|
|
||||||||
|
2015
|
||||||||||||||
Interest rate risk
|
$
|
1,300
|
|
|
$
|
1,307
|
|
|
$
|
(263
|
)
|
|
$
|
2,344
|
|
Foreign exchange risk
|
1,322
|
|
|
(10
|
)
|
|
(117
|
)
|
|
1,195
|
|
||||
Equity risk
|
2,115
|
|
|
56
|
|
|
2,146
|
|
|
4,317
|
|
||||
Credit risk
|
910
|
|
|
2,361
|
|
|
452
|
|
|
3,723
|
|
||||
Other risk
|
462
|
|
|
(81
|
)
|
|
62
|
|
|
443
|
|
||||
Total sales and trading revenue
|
$
|
6,109
|
|
|
$
|
3,633
|
|
|
$
|
2,280
|
|
|
$
|
12,022
|
|
|
|
|
|
|
|
|
|
||||||||
|
2014
|
||||||||||||||
Interest rate risk
|
$
|
983
|
|
|
$
|
946
|
|
|
$
|
466
|
|
|
$
|
2,395
|
|
Foreign exchange risk
|
1,177
|
|
|
7
|
|
|
(128
|
)
|
|
1,056
|
|
||||
Equity risk
|
1,954
|
|
|
(79
|
)
|
|
2,307
|
|
|
4,182
|
|
||||
Credit risk
|
1,404
|
|
|
2,563
|
|
|
617
|
|
|
4,584
|
|
||||
Other risk
|
508
|
|
|
(123
|
)
|
|
108
|
|
|
493
|
|
||||
Total sales and trading revenue
|
$
|
6,026
|
|
|
$
|
3,314
|
|
|
$
|
3,370
|
|
|
$
|
12,710
|
|
(1)
|
Represents amounts in investment and brokerage services and other income that are recorded in
Global Markets
and included in the definition of sales and trading revenue. Includes investment and brokerage services revenue of
$2.1 billion
,
$2.2 billion
and
$2.2 billion
for
2016
,
2015
and
2014
, respectively.
|
|
|
Bank of America 2016
137
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Credit Derivative Instruments
|
|
||||||||||||||||||
|
|
||||||||||||||||||
|
December 31, 2016
|
||||||||||||||||||
|
Carrying Value
|
||||||||||||||||||
(Dollars in millions)
|
Less than
One Year
|
|
One to
Three Years
|
|
Three to
Five Years
|
|
Over Five
Years
|
|
Total
|
||||||||||
Credit default swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
$
|
10
|
|
|
$
|
64
|
|
|
$
|
535
|
|
|
$
|
783
|
|
|
$
|
1,392
|
|
Non-investment grade
|
771
|
|
|
1,053
|
|
|
908
|
|
|
3,339
|
|
|
6,071
|
|
|||||
Total
|
781
|
|
|
1,117
|
|
|
1,443
|
|
|
4,122
|
|
|
7,463
|
|
|||||
Total return swaps/other:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
16
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16
|
|
|||||
Non-investment grade
|
127
|
|
|
10
|
|
|
2
|
|
|
1
|
|
|
140
|
|
|||||
Total
|
143
|
|
|
10
|
|
|
2
|
|
|
1
|
|
|
156
|
|
|||||
Total credit derivatives
|
$
|
924
|
|
|
$
|
1,127
|
|
|
$
|
1,445
|
|
|
$
|
4,123
|
|
|
$
|
7,619
|
|
Credit-related notes:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
$
|
—
|
|
|
$
|
12
|
|
|
$
|
542
|
|
|
$
|
1,423
|
|
|
$
|
1,977
|
|
Non-investment grade
|
70
|
|
|
22
|
|
|
60
|
|
|
1,318
|
|
|
1,470
|
|
|||||
Total credit-related notes
|
$
|
70
|
|
|
$
|
34
|
|
|
$
|
602
|
|
|
$
|
2,741
|
|
|
$
|
3,447
|
|
|
Maximum Payout/Notional
|
||||||||||||||||||
Credit default swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
$
|
121,083
|
|
|
$
|
143,200
|
|
|
$
|
116,540
|
|
|
$
|
21,905
|
|
|
$
|
402,728
|
|
Non-investment grade
|
84,755
|
|
|
67,160
|
|
|
41,001
|
|
|
18,711
|
|
|
211,627
|
|
|||||
Total
|
205,838
|
|
|
210,360
|
|
|
157,541
|
|
|
40,616
|
|
|
614,355
|
|
|||||
Total return swaps/other:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
12,792
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
12,792
|
|
|||||
Non-investment grade
|
6,638
|
|
|
5,127
|
|
|
589
|
|
|
208
|
|
|
12,562
|
|
|||||
Total
|
19,430
|
|
|
5,127
|
|
|
589
|
|
|
208
|
|
|
25,354
|
|
|||||
Total credit derivatives
|
$
|
225,268
|
|
|
$
|
215,487
|
|
|
$
|
158,130
|
|
|
$
|
40,824
|
|
|
$
|
639,709
|
|
|
December 31, 2015
|
||||||||||||||||||
|
Carrying Value
|
||||||||||||||||||
Credit default swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
$
|
84
|
|
|
$
|
481
|
|
|
$
|
2,203
|
|
|
$
|
680
|
|
|
$
|
3,448
|
|
Non-investment grade
|
672
|
|
|
3,035
|
|
|
2,386
|
|
|
3,583
|
|
|
9,676
|
|
|||||
Total
|
756
|
|
|
3,516
|
|
|
4,589
|
|
|
4,263
|
|
|
13,124
|
|
|||||
Total return swaps/other:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5
|
|
|||||
Non-investment grade
|
171
|
|
|
236
|
|
|
8
|
|
|
2
|
|
|
417
|
|
|||||
Total
|
176
|
|
|
236
|
|
|
8
|
|
|
2
|
|
|
422
|
|
|||||
Total credit derivatives
|
$
|
932
|
|
|
$
|
3,752
|
|
|
$
|
4,597
|
|
|
$
|
4,265
|
|
|
$
|
13,546
|
|
Credit-related notes:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
$
|
267
|
|
|
$
|
57
|
|
|
$
|
444
|
|
|
$
|
2,203
|
|
|
$
|
2,971
|
|
Non-investment grade
|
61
|
|
|
118
|
|
|
117
|
|
|
1,264
|
|
|
1,560
|
|
|||||
Total credit-related notes
|
$
|
328
|
|
|
$
|
175
|
|
|
$
|
561
|
|
|
$
|
3,467
|
|
|
$
|
4,531
|
|
|
Maximum Payout/Notional
|
||||||||||||||||||
Credit default swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
$
|
149,177
|
|
|
$
|
280,658
|
|
|
$
|
178,990
|
|
|
$
|
26,352
|
|
|
$
|
635,177
|
|
Non-investment grade
|
81,596
|
|
|
135,850
|
|
|
53,299
|
|
|
18,221
|
|
|
288,966
|
|
|||||
Total
|
230,773
|
|
|
416,508
|
|
|
232,289
|
|
|
44,573
|
|
|
924,143
|
|
|||||
Total return swaps/other:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Investment grade
|
9,758
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9,758
|
|
|||||
Non-investment grade
|
20,917
|
|
|
6,989
|
|
|
1,371
|
|
|
623
|
|
|
29,900
|
|
|||||
Total
|
30,675
|
|
|
6,989
|
|
|
1,371
|
|
|
623
|
|
|
39,658
|
|
|||||
Total credit derivatives
|
$
|
261,448
|
|
|
$
|
423,497
|
|
|
$
|
233,660
|
|
|
$
|
45,196
|
|
|
$
|
963,801
|
|
138
Bank of America 2016
|
|
|
|
|
|
||||
Additional Collateral Required to be Posted Upon Downgrade
|
||||||
|
|
|
||||
|
December 31, 2016
|
|||||
(Dollars in millions)
|
One
incremental notch
|
Second
incremental notch
|
||||
Bank of America Corporation
|
$
|
498
|
|
$
|
866
|
|
Bank of America, N.A. and subsidiaries
(1)
|
310
|
|
492
|
|
(1)
|
Included in Bank of America Corporation collateral requirements in this table.
|
|
|
|
||||
Derivative Liabilities Subject to Unilateral Termination Upon Downgrade
|
||||||
|
|
|
||||
|
December 31, 2016
|
|||||
(Dollars in millions)
|
One
incremental notch
|
Second
incremental notch
|
||||
Derivative liabilities
|
$
|
691
|
|
$
|
1,324
|
|
Collateral posted
|
459
|
|
1,026
|
|
|
|
Bank of America 2016
139
|
|
|
|
|
|
|
|
|
|
||||||||||||
Valuation Adjustments on Derivatives
|
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||||||
Gains (Losses)
|
|
|
|
|
|
|
|
|
||||||||||||
|
2016
|
|
2015
|
|
2014
|
|||||||||||||||
(Dollars in millions)
|
Gross
|
Net
|
|
Gross
|
Net
|
|
Gross
|
Net
|
||||||||||||
Derivative assets (CVA)
(1)
|
$
|
374
|
|
$
|
214
|
|
|
$
|
255
|
|
$
|
227
|
|
|
$
|
(22
|
)
|
$
|
191
|
|
Derivative assets/liabilities (FVA)
(1)
|
186
|
|
102
|
|
|
16
|
|
16
|
|
|
(497
|
)
|
(497
|
)
|
||||||
Derivative liabilities (DVA)
(1)
|
24
|
|
(141
|
)
|
|
(18
|
)
|
(153
|
)
|
|
(28
|
)
|
(150
|
)
|
(1)
|
At
December 31, 2016, 2015 and 2014
, cumulative CVA reduced the derivative assets balance by
$1.0 billion
,
$1.4 billion
and
$1.6 billion
, cumulative FVA reduced the net derivatives balance by
$296 million
,
$481 million
and
$497 million
, and cumulative DVA reduced the derivative liabilities balance by
$774 million
,
$750 million
and
$769 million
, respectively.
|
140
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
Debt Securities and Available-for-Sale Marketable Equity Securities
|
|
|
|
|
|||||||||||
|
|
||||||||||||||
|
December 31, 2016
|
||||||||||||||
(Dollars in millions)
|
Amortized
Cost
|
|
Gross
Unrealized
Gains
|
|
Gross
Unrealized
Losses
|
|
Fair
Value
|
||||||||
Available-for-sale debt securities
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|||||||
Agency
|
$
|
190,809
|
|
|
$
|
640
|
|
|
$
|
(1,963
|
)
|
|
$
|
189,486
|
|
Agency-collateralized mortgage obligations
|
8,296
|
|
|
85
|
|
|
(51
|
)
|
|
8,330
|
|
||||
Commercial
|
12,594
|
|
|
21
|
|
|
(293
|
)
|
|
12,322
|
|
||||
Non-agency residential
(1)
|
1,863
|
|
|
181
|
|
|
(31
|
)
|
|
2,013
|
|
||||
Total mortgage-backed securities
|
213,562
|
|
|
927
|
|
|
(2,338
|
)
|
|
212,151
|
|
||||
U.S. Treasury and agency securities
|
48,800
|
|
|
204
|
|
|
(752
|
)
|
|
48,252
|
|
||||
Non-U.S. securities
|
6,372
|
|
|
13
|
|
|
(3
|
)
|
|
6,382
|
|
||||
Other taxable securities, substantially all asset-backed securities
|
10,573
|
|
|
64
|
|
|
(23
|
)
|
|
10,614
|
|
||||
Total taxable securities
|
279,307
|
|
|
1,208
|
|
|
(3,116
|
)
|
|
277,399
|
|
||||
Tax-exempt securities
|
17,272
|
|
|
72
|
|
|
(184
|
)
|
|
17,160
|
|
||||
Total available-for-sale debt securities
|
296,579
|
|
|
1,280
|
|
|
(3,300
|
)
|
|
294,559
|
|
||||
Less: Available-for-sale securities of business held for sale
(2)
|
(619
|
)
|
|
—
|
|
|
—
|
|
|
(619
|
)
|
||||
Other debt securities carried at fair value
|
19,748
|
|
|
121
|
|
|
(149
|
)
|
|
19,720
|
|
||||
Total debt securities carried at fair value
|
315,708
|
|
|
1,401
|
|
|
(3,449
|
)
|
|
313,660
|
|
||||
Held-to-maturity debt securities, substantially all U.S. agency mortgage-backed securities
|
117,071
|
|
|
248
|
|
|
(2,034
|
)
|
|
115,285
|
|
||||
Total debt securities
(3)
|
$
|
432,779
|
|
|
$
|
1,649
|
|
|
$
|
(5,483
|
)
|
|
$
|
428,945
|
|
Available-for-sale marketable equity securities
(4)
|
$
|
325
|
|
|
$
|
51
|
|
|
$
|
(1
|
)
|
|
$
|
375
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2015
|
||||||||||||||
Available-for-sale debt securities
|
|
|
|
|
|
|
|
||||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Agency
|
$
|
229,356
|
|
|
$
|
1,061
|
|
|
$
|
(1,470
|
)
|
|
$
|
228,947
|
|
Agency-collateralized mortgage obligations
|
10,892
|
|
|
148
|
|
|
(55
|
)
|
|
10,985
|
|
||||
Commercial
|
7,200
|
|
|
30
|
|
|
(65
|
)
|
|
7,165
|
|
||||
Non-agency residential
(1)
|
3,031
|
|
|
219
|
|
|
(71
|
)
|
|
3,179
|
|
||||
Total mortgage-backed securities
|
250,479
|
|
|
1,458
|
|
|
(1,661
|
)
|
|
250,276
|
|
||||
U.S. Treasury and agency securities
|
25,075
|
|
|
211
|
|
|
(9
|
)
|
|
25,277
|
|
||||
Non-U.S. securities
|
5,743
|
|
|
27
|
|
|
(3
|
)
|
|
5,767
|
|
||||
Other taxable securities, substantially all asset-backed securities
|
10,475
|
|
|
54
|
|
|
(84
|
)
|
|
10,445
|
|
||||
Total taxable securities
|
291,772
|
|
|
1,750
|
|
|
(1,757
|
)
|
|
291,765
|
|
||||
Tax-exempt securities
|
13,978
|
|
|
63
|
|
|
(33
|
)
|
|
14,008
|
|
||||
Total available-for-sale debt securities
|
305,750
|
|
|
1,813
|
|
|
(1,790
|
)
|
|
305,773
|
|
||||
Other debt securities carried at fair value
|
16,678
|
|
|
103
|
|
|
(174
|
)
|
|
16,607
|
|
||||
Total debt securities carried at fair value
|
322,428
|
|
|
1,916
|
|
|
(1,964
|
)
|
|
322,380
|
|
||||
Held-to-maturity debt securities, substantially all U.S. agency mortgage-backed securities
|
84,508
|
|
|
330
|
|
|
(792
|
)
|
|
84,046
|
|
||||
Total debt securities
(3)
|
$
|
406,936
|
|
|
$
|
2,246
|
|
|
$
|
(2,756
|
)
|
|
$
|
406,426
|
|
Available-for-sale marketable equity securities
(4)
|
$
|
326
|
|
|
$
|
99
|
|
|
$
|
—
|
|
|
$
|
425
|
|
(1)
|
At
December 31, 2016 and 2015
, the underlying collateral type included approximately
60 percent
and
71 percent
prime,
19 percent
and
15 percent
Alt-A, and
21 percent
and
14 percent
subprime.
|
(2)
|
Represents AFS debt securities of business held for sale of which there were
no
unrealized gains or losses at
December 31, 2016
.
|
(3)
|
The Corporation had debt securities from FNMA and FHLMC that each exceeded 10 percent of shareholders’ equity, with an amortized cost of
$156.4 billion
and
$48.7 billion
, and a fair value of
$154.4 billion
and
$48.3 billion
at
December 31, 2016
. Debt securities from FNMA and FHLMC that exceeded 10 percent of shareholders’ equity had an amortized cost of
$145.8 billion
and
$53.3 billion
, and a fair value of
$145.5 billion
and
$53.2 billion
at
December 31, 2015
.
|
(4)
|
Classified in other assets on the Consolidated Balance Sheet.
|
|
|
Bank of America 2016
141
|
|
|
|
|
||||
Other Debt Securities Carried at Fair Value
|
|||||||
|
|
|
|
||||
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Mortgage-backed securities:
|
|
|
|
||||
Agency-collateralized mortgage obligations
|
$
|
5
|
|
|
$
|
7
|
|
Non-agency residential
|
3,139
|
|
|
3,490
|
|
||
Total mortgage-backed securities
|
3,144
|
|
|
3,497
|
|
||
Non-U.S. securities
(1)
|
16,336
|
|
|
12,843
|
|
||
Other taxable securities, substantially all asset-backed securities
|
240
|
|
|
267
|
|
||
Total
|
$
|
19,720
|
|
|
$
|
16,607
|
|
(1)
|
These securities are primarily used to satisfy certain international regulatory liquidity requirements.
|
|
|
|
|
|
|
||||||
Gains and Losses on Sales of AFS Debt Securities
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Gross gains
|
$
|
520
|
|
|
$
|
1,174
|
|
|
$
|
1,504
|
|
Gross losses
|
(30
|
)
|
|
(36
|
)
|
|
(23
|
)
|
|||
Net gains on sales of AFS debt securities
|
$
|
490
|
|
|
$
|
1,138
|
|
|
$
|
1,481
|
|
Income tax expense attributable to realized net gains on sales of AFS debt securities
|
$
|
186
|
|
|
$
|
432
|
|
|
$
|
563
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Temporarily Impaired and Other-than-temporarily Impaired AFS Debt Securities
|
|
|
|
|
|
|
|||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
December 31, 2016
|
||||||||||||||||||||||
|
Less than Twelve Months
|
|
Twelve Months or Longer
|
|
Total
|
||||||||||||||||||
(Dollars in millions)
|
Fair
Value
|
|
Gross Unrealized Losses
|
|
Fair
Value
|
|
Gross Unrealized Losses
|
|
Fair
Value
|
|
Gross Unrealized Losses
|
||||||||||||
Temporarily impaired AFS debt securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agency
|
$
|
135,210
|
|
|
$
|
(1,846
|
)
|
|
$
|
3,770
|
|
|
$
|
(117
|
)
|
|
$
|
138,980
|
|
|
$
|
(1,963
|
)
|
Agency-collateralized mortgage obligations
|
3,229
|
|
|
(25
|
)
|
|
1,028
|
|
|
(26
|
)
|
|
4,257
|
|
|
(51
|
)
|
||||||
Commercial
|
9,018
|
|
|
(293
|
)
|
|
—
|
|
|
—
|
|
|
9,018
|
|
|
(293
|
)
|
||||||
Non-agency residential
|
212
|
|
|
(1
|
)
|
|
204
|
|
|
(13
|
)
|
|
416
|
|
|
(14
|
)
|
||||||
Total mortgage-backed securities
|
147,669
|
|
|
(2,165
|
)
|
|
5,002
|
|
|
(156
|
)
|
|
152,671
|
|
|
(2,321
|
)
|
||||||
U.S. Treasury and agency securities
|
28,462
|
|
|
(752
|
)
|
|
—
|
|
|
—
|
|
|
28,462
|
|
|
(752
|
)
|
||||||
Non-U.S. securities
|
52
|
|
|
(1
|
)
|
|
142
|
|
|
(2
|
)
|
|
194
|
|
|
(3
|
)
|
||||||
Other taxable securities, substantially all asset-backed securities
|
762
|
|
|
(5
|
)
|
|
1,438
|
|
|
(18
|
)
|
|
2,200
|
|
|
(23
|
)
|
||||||
Total taxable securities
|
176,945
|
|
|
(2,923
|
)
|
|
6,582
|
|
|
(176
|
)
|
|
183,527
|
|
|
(3,099
|
)
|
||||||
Tax-exempt securities
|
4,782
|
|
|
(148
|
)
|
|
1,873
|
|
|
(36
|
)
|
|
6,655
|
|
|
(184
|
)
|
||||||
Total temporarily impaired AFS debt securities
|
181,727
|
|
|
(3,071
|
)
|
|
8,455
|
|
|
(212
|
)
|
|
190,182
|
|
|
(3,283
|
)
|
||||||
Other-than-temporarily impaired AFS debt securities
(1)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Non-agency residential mortgage-backed securities
|
94
|
|
|
(1
|
)
|
|
401
|
|
|
(16
|
)
|
|
495
|
|
|
(17
|
)
|
||||||
Total temporarily impaired and other-than-temporarily impaired
AFS debt securities
|
$
|
181,821
|
|
|
$
|
(3,072
|
)
|
|
$
|
8,856
|
|
|
$
|
(228
|
)
|
|
$
|
190,677
|
|
|
$
|
(3,300
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
December 31, 2015
|
||||||||||||||||||||||
Temporarily impaired AFS debt securities
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agency
|
$
|
115,502
|
|
|
$
|
(1,082
|
)
|
|
$
|
13,083
|
|
|
$
|
(388
|
)
|
|
$
|
128,585
|
|
|
$
|
(1,470
|
)
|
Agency-collateralized mortgage obligations
|
2,536
|
|
|
(19
|
)
|
|
1,212
|
|
|
(36
|
)
|
|
3,748
|
|
|
(55
|
)
|
||||||
Commercial
|
4,587
|
|
|
(65
|
)
|
|
—
|
|
|
—
|
|
|
4,587
|
|
|
(65
|
)
|
||||||
Non-agency residential
|
553
|
|
|
(5
|
)
|
|
723
|
|
|
(33
|
)
|
|
1,276
|
|
|
(38
|
)
|
||||||
Total mortgage-backed securities
|
123,178
|
|
|
(1,171
|
)
|
|
15,018
|
|
|
(457
|
)
|
|
138,196
|
|
|
(1,628
|
)
|
||||||
U.S. Treasury and agency securities
|
1,172
|
|
|
(5
|
)
|
|
190
|
|
|
(4
|
)
|
|
1,362
|
|
|
(9
|
)
|
||||||
Non-U.S. securities
|
—
|
|
|
—
|
|
|
134
|
|
|
(3
|
)
|
|
134
|
|
|
(3
|
)
|
||||||
Other taxable securities, substantially all asset-backed securities
|
4,936
|
|
|
(67
|
)
|
|
869
|
|
|
(17
|
)
|
|
5,805
|
|
|
(84
|
)
|
||||||
Total taxable securities
|
129,286
|
|
|
(1,243
|
)
|
|
16,211
|
|
|
(481
|
)
|
|
145,497
|
|
|
(1,724
|
)
|
||||||
Tax-exempt securities
|
4,400
|
|
|
(12
|
)
|
|
1,877
|
|
|
(21
|
)
|
|
6,277
|
|
|
(33
|
)
|
||||||
Total temporarily impaired AFS debt securities
|
133,686
|
|
|
(1,255
|
)
|
|
18,088
|
|
|
(502
|
)
|
|
151,774
|
|
|
(1,757
|
)
|
||||||
Other-than-temporarily impaired AFS debt securities
(1)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Non-agency residential mortgage-backed securities
|
481
|
|
|
(19
|
)
|
|
98
|
|
|
(14
|
)
|
|
579
|
|
|
(33
|
)
|
||||||
Total temporarily impaired and other-than-temporarily impaired
AFS debt securities
|
$
|
134,167
|
|
|
$
|
(1,274
|
)
|
|
$
|
18,186
|
|
|
$
|
(516
|
)
|
|
$
|
152,353
|
|
|
$
|
(1,790
|
)
|
(1)
|
Includes OTTI AFS debt securities on which an OTTI loss, primarily related to changes in interest rates, remains in accumulated OCI.
|
142
Bank of America 2016
|
|
|
|
|
|
|
|
|
||||||
Net Credit-related Impairment Losses Recognized in Earnings
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Total OTTI losses
|
$
|
(31
|
)
|
|
$
|
(111
|
)
|
|
$
|
(30
|
)
|
Less: non-credit portion of total OTTI losses recognized in OCI
|
12
|
|
|
30
|
|
|
14
|
|
|||
Net credit-related impairment losses recognized in earnings
|
$
|
(19
|
)
|
|
$
|
(81
|
)
|
|
$
|
(16
|
)
|
|
|
|
|
|
|
||||||
Rollforward of OTTI Credit Losses Recognized
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Balance, January 1
|
$
|
266
|
|
|
$
|
200
|
|
|
$
|
184
|
|
Additions for credit losses recognized on AFS debt securities that had no previous impairment losses
|
2
|
|
|
52
|
|
|
14
|
|
|||
Additions for credit losses recognized on AFS debt securities that had previously incurred impairment losses
|
17
|
|
|
29
|
|
|
2
|
|
|||
Reductions for AFS debt securities matured, sold or intended to be sold
|
(32
|
)
|
|
(15
|
)
|
|
—
|
|
|||
Balance, December 31
|
$
|
253
|
|
|
$
|
266
|
|
|
$
|
200
|
|
|
|
|
|
|
|
|||
Significant Assumptions
|
||||||||
|
|
|
|
|
|
|||
|
|
|
Range
(1)
|
|||||
|
Weighted-
average |
|
10th
Percentile
(2)
|
|
90th
Percentile
(2)
|
|||
Prepayment speed
|
13.8
|
%
|
|
4.6
|
%
|
|
27.0
|
%
|
Loss severity
|
20.1
|
|
|
8.8
|
|
|
36.5
|
|
Life default rate
|
20.4
|
|
|
0.7
|
|
|
77.4
|
|
(1)
|
Represents the range of inputs/assumptions based upon the underlying collateral.
|
(2)
|
The value of a variable below which the indicated percentile of observations will fall.
|
|
|
Bank of America 2016
143
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Maturities of Debt Securities Carried at Fair Value and Held-to-maturity Debt Securities
|
||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
December 31, 2016
|
|||||||||||||||||||||||||||||||||
|
Due in One
Year or Less
|
|
Due after One Year
through Five Years
|
|
Due after Five Years
through Ten Years
|
|
Due after
Ten Years
|
|
Total
|
|||||||||||||||||||||||||
(Dollars in millions)
|
Amount
|
|
Yield
(1)
|
|
Amount
|
|
Yield
(1)
|
|
Amount
|
|
Yield
(1)
|
|
Amount
|
|
Yield
(1)
|
|
Amount
|
|
Yield
(1)
|
|||||||||||||||
Amortized cost of debt securities carried at fair value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Agency
|
$
|
2
|
|
|
4.50
|
%
|
|
$
|
47
|
|
|
4.45
|
%
|
|
$
|
381
|
|
|
2.56
|
%
|
|
$
|
190,379
|
|
|
3.23
|
%
|
|
$
|
190,809
|
|
|
3.23
|
%
|
Agency-collateralized mortgage obligations
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
8,300
|
|
|
3.18
|
|
|
8,300
|
|
|
3.18
|
|
|||||
Commercial
|
48
|
|
|
8.60
|
|
|
558
|
|
|
1.96
|
|
|
11,632
|
|
|
2.47
|
|
|
356
|
|
|
2.58
|
|
|
12,594
|
|
|
2.47
|
|
|||||
Non-agency residential
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
12
|
|
|
0.01
|
|
|
5,016
|
|
|
8.50
|
|
|
5,028
|
|
|
8.48
|
|
|||||
Total mortgage-backed securities
|
50
|
|
|
8.32
|
|
|
605
|
|
|
2.15
|
|
|
12,025
|
|
|
2.46
|
|
|
204,051
|
|
|
3.36
|
|
|
216,731
|
|
|
3.31
|
|
|||||
U.S. Treasury and agency securities
|
517
|
|
|
0.47
|
|
|
34,898
|
|
|
1.57
|
|
|
13,234
|
|
|
1.58
|
|
|
151
|
|
|
5.42
|
|
|
48,800
|
|
|
1.57
|
|
|||||
Non-U.S. securities
(2)
|
21,164
|
|
|
0.25
|
|
|
1,097
|
|
|
1.92
|
|
|
206
|
|
|
1.30
|
|
|
240
|
|
|
6.60
|
|
|
22,707
|
|
|
0.41
|
|
|||||
Other taxable securities, substantially all asset-backed securities
|
2,040
|
|
|
1.77
|
|
|
5,102
|
|
|
1.63
|
|
|
2,279
|
|
|
2.71
|
|
|
1,396
|
|
|
3.18
|
|
|
10,817
|
|
|
2.08
|
|
|||||
Total taxable securities
|
23,771
|
|
|
0.40
|
|
|
41,702
|
|
|
1.59
|
|
|
27,744
|
|
|
2.05
|
|
|
205,838
|
|
|
3.36
|
|
|
299,055
|
|
|
2.76
|
|
|||||
Tax-exempt securities
|
646
|
|
|
1.13
|
|
|
6,563
|
|
|
1.49
|
|
|
7,846
|
|
|
1.57
|
|
|
2,217
|
|
|
1.53
|
|
|
17,272
|
|
|
1.52
|
|
|||||
Total amortized cost of debt securities carried at fair value
(2)
|
$
|
24,417
|
|
|
0.42
|
|
|
$
|
48,265
|
|
|
1.58
|
|
|
$
|
35,590
|
|
|
1.95
|
|
|
$
|
208,055
|
|
|
3.34
|
|
|
$
|
316,327
|
|
|
2.69
|
|
Amortized cost of HTM debt securities
(3)
|
$
|
—
|
|
|
—
|
|
|
$
|
26
|
|
|
4.01
|
|
|
$
|
971
|
|
|
2.32
|
|
|
$
|
116,074
|
|
|
3.01
|
|
|
$
|
117,071
|
|
|
3.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Debt securities carried at fair value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Agency
|
$
|
2
|
|
|
|
|
|
$
|
48
|
|
|
|
|
|
$
|
382
|
|
|
|
|
|
$
|
189,054
|
|
|
|
|
|
$
|
189,486
|
|
|
|
|
Agency-collateralized mortgage obligations
|
—
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
|
|
|
|
8,335
|
|
|
|
|
|
8,335
|
|
|
|
|
|||||
Commercial
|
48
|
|
|
|
|
|
559
|
|
|
|
|
|
11,378
|
|
|
|
|
|
337
|
|
|
|
|
|
12,322
|
|
|
|
|
|||||
Non-agency residential
|
—
|
|
|
|
|
|
—
|
|
|
|
|
|
19
|
|
|
|
|
|
5,133
|
|
|
|
|
|
5,152
|
|
|
|
|
|||||
Total mortgage-backed securities
|
50
|
|
|
|
|
607
|
|
|
|
|
11,779
|
|
|
|
|
202,859
|
|
|
|
|
215,295
|
|
|
|
||||||||||
U.S. Treasury and agency securities
|
517
|
|
|
|
|
34,784
|
|
|
|
|
12,788
|
|
|
|
|
163
|
|
|
|
|
48,252
|
|
|
|
||||||||||
Non-U.S. securities
(2)
|
21,165
|
|
|
|
|
|
1,100
|
|
|
|
|
|
208
|
|
|
|
|
|
245
|
|
|
|
|
|
22,718
|
|
|
|
|
|||||
Other taxable securities, substantially all asset-backed securities
|
2,036
|
|
|
|
|
|
5,078
|
|
|
|
|
|
2,303
|
|
|
|
|
|
1,437
|
|
|
|
|
|
10,854
|
|
|
|
|
|||||
Total taxable securities
|
23,768
|
|
|
|
|
|
41,569
|
|
|
|
|
|
27,078
|
|
|
|
|
|
204,704
|
|
|
|
|
|
297,119
|
|
|
|
|
|||||
Tax-exempt securities
|
646
|
|
|
|
|
|
6,561
|
|
|
|
|
|
7,754
|
|
|
|
|
|
2,199
|
|
|
|
|
|
17,160
|
|
|
|
|
|||||
Total debt securities carried at fair value
(2)
|
$
|
24,414
|
|
|
|
|
|
$
|
48,130
|
|
|
|
|
|
$
|
34,832
|
|
|
|
|
|
$
|
206,903
|
|
|
|
|
|
$
|
314,279
|
|
|
|
|
Fair value of HTM debt securities
(3)
|
$
|
—
|
|
|
|
|
$
|
26
|
|
|
|
|
$
|
959
|
|
|
|
|
$
|
114,300
|
|
|
|
|
$
|
115,285
|
|
|
|
(1)
|
The average yield is computed based on a constant effective interest rate over the contractual life of each security. The average yield considers the contractual coupon and the amortization of premiums and accretion of discounts, excluding the effect of related hedging derivatives.
|
(2)
|
Includes $
619 million
of amortized cost and fair value for AFS debt securities of business held for sale. These AFS debt securities mature in
one
year or less and have an average yield of
0.21 percent
.
|
(3)
|
Substantially all U.S. agency MBS.
|
144
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
December 31, 2016
|
||||||||||||||||||||||||||||||
(Dollars in millions)
|
30-59 Days Past Due
(1)
|
|
60-89 Days Past Due
(1)
|
|
90 Days or
More
Past Due
(2)
|
|
Total Past
Due 30 Days
or More
|
|
Total Current or Less Than 30 Days Past Due
(3)
|
|
Purchased
Credit-impaired (4) |
|
Loans Accounted for Under the Fair Value Option
|
|
Total
Outstandings
|
||||||||||||||||
Consumer real estate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Residential mortgage
|
$
|
1,340
|
|
|
$
|
425
|
|
|
$
|
1,213
|
|
|
$
|
2,978
|
|
|
$
|
153,519
|
|
|
|
|
|
|
$
|
156,497
|
|
||||
Home equity
|
239
|
|
|
105
|
|
|
451
|
|
|
795
|
|
|
48,578
|
|
|
|
|
|
|
49,373
|
|
||||||||||
Non-core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Residential mortgage
(5)
|
1,338
|
|
|
674
|
|
|
5,343
|
|
|
7,355
|
|
|
17,818
|
|
|
$
|
10,127
|
|
|
|
|
35,300
|
|
||||||||
Home equity
|
260
|
|
|
136
|
|
|
832
|
|
|
1,228
|
|
|
12,231
|
|
|
3,611
|
|
|
|
|
17,070
|
|
|||||||||
Credit card and other consumer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
U.S. credit card
|
472
|
|
|
341
|
|
|
782
|
|
|
1,595
|
|
|
90,683
|
|
|
|
|
|
|
92,278
|
|
||||||||||
Non-U.S. credit card
|
37
|
|
|
27
|
|
|
66
|
|
|
130
|
|
|
9,084
|
|
|
|
|
|
|
9,214
|
|
||||||||||
Direct/Indirect consumer
(6)
|
272
|
|
|
79
|
|
|
34
|
|
|
385
|
|
|
93,704
|
|
|
|
|
|
|
94,089
|
|
||||||||||
Other consumer
(7)
|
26
|
|
|
8
|
|
|
6
|
|
|
40
|
|
|
2,459
|
|
|
|
|
|
|
2,499
|
|
||||||||||
Total consumer
|
3,984
|
|
|
1,795
|
|
|
8,727
|
|
|
14,506
|
|
|
428,076
|
|
|
13,738
|
|
|
|
|
456,320
|
|
|||||||||
Consumer loans accounted for under the fair value option
(8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
1,051
|
|
|
1,051
|
|
|||||||
Total consumer loans and leases
|
3,984
|
|
|
1,795
|
|
|
8,727
|
|
|
14,506
|
|
|
428,076
|
|
|
13,738
|
|
|
1,051
|
|
|
457,371
|
|
||||||||
Commercial
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
U.S. commercial
|
952
|
|
|
263
|
|
|
400
|
|
|
1,615
|
|
|
268,757
|
|
|
|
|
|
|
270,372
|
|
||||||||||
Commercial real estate
(9)
|
20
|
|
|
10
|
|
|
56
|
|
|
86
|
|
|
57,269
|
|
|
|
|
|
|
57,355
|
|
||||||||||
Commercial lease financing
|
167
|
|
|
21
|
|
|
27
|
|
|
215
|
|
|
22,160
|
|
|
|
|
|
|
22,375
|
|
||||||||||
Non-U.S. commercial
|
348
|
|
|
4
|
|
|
5
|
|
|
357
|
|
|
89,040
|
|
|
|
|
|
|
89,397
|
|
||||||||||
U.S. small business commercial
|
96
|
|
|
49
|
|
|
84
|
|
|
229
|
|
|
12,764
|
|
|
|
|
|
|
12,993
|
|
||||||||||
Total commercial
|
1,583
|
|
|
347
|
|
|
572
|
|
|
2,502
|
|
|
449,990
|
|
|
|
|
|
|
452,492
|
|
||||||||||
Commercial loans accounted for under the fair value option
(8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,034
|
|
|
6,034
|
|
||||||||
Total commercial loans and leases
|
1,583
|
|
|
347
|
|
|
572
|
|
|
2,502
|
|
|
449,990
|
|
|
|
|
6,034
|
|
|
458,526
|
|
|||||||||
Total consumer and commercial loans and leases
(10)
|
$
|
5,567
|
|
|
$
|
2,142
|
|
|
$
|
9,299
|
|
|
$
|
17,008
|
|
|
$
|
878,066
|
|
|
$
|
13,738
|
|
|
$
|
7,085
|
|
|
$
|
915,897
|
|
Less: Loans of business held for sale
(10)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9,214
|
)
|
|||||||||||||||
Total loans and leases
(11)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
906,683
|
|
||||||||||||||
Percentage of outstandings
(10)
|
0.61
|
%
|
|
0.23
|
%
|
|
1.02
|
%
|
|
1.86
|
%
|
|
95.87
|
%
|
|
1.50
|
%
|
|
0.77
|
%
|
|
100.00
|
%
|
(1)
|
Consumer real estate loans 30-59 days past due includes fully-insured loans of
$1.1 billion
and nonperforming loans of
$266 million
. Consumer real estate loans 60-89 days past due includes fully-insured loans of
$547 million
and nonperforming loans of
$216 million
.
|
(2)
|
Consumer real estate includes fully-insured loans of
$4.8 billion
.
|
(3)
|
Consumer real estate includes
$2.5 billion
and direct/indirect consumer includes
$27 million
of nonperforming loans.
|
(4)
|
PCI loan amounts are shown gross of the valuation allowance.
|
(5)
|
Total outstandings includes pay option loans of
$1.8 billion
. The Corporation no longer originates this product.
|
(6)
|
Total outstandings includes auto and specialty lending loans of
$48.9 billion
, unsecured consumer lending loans of
$585 million
, U.S. securities-based lending loans of
$40.1 billion
, non-U.S. consumer loans of
$3.0 billion
, student loans of
$497 million
and other consumer loans of
$1.1 billion
.
|
(7)
|
Total outstandings includes consumer finance loans of
$465 million
, consumer leases of
$1.9 billion
and consumer overdrafts of
$157 million
.
|
(8)
|
Consumer loans accounted for under the fair value option were residential mortgage loans of
$710 million
and home equity loans of
$341 million
. Commercial loans accounted for under the fair value option were U.S. commercial loans of
$2.9 billion
and non-U.S. commercial loans of
$3.1 billion
. For additional information, see
Note 20 – Fair Value Measurements
and
Note 21 – Fair Value Option
.
|
(9)
|
Total outstandings includes U.S. commercial real estate loans of
$54.3 billion
and non-U.S. commercial real estate loans of
$3.1 billion
.
|
(10)
|
Includes non-U.S. credit card loans, which are included in assets of business held for sale on the Consolidated Balance Sheet.
|
(11)
|
The Corporation pledged
$143.1 billion
of loans to secure potential borrowing capacity with the Federal Reserve Bank and Federal Home Loan Bank (FHLB). This amount is not included in the parenthetical disclosure of loans and leases pledged as collateral on the Consolidated Balance Sheet as there were no related outstanding borrowings.
|
|
|
Bank of America 2016
145
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
December 31, 2015
|
||||||||||||||||||||||||||||||
(Dollars in millions)
|
30-59 Days
Past Due (1) |
|
60-89 Days Past Due
(1)
|
|
90 Days or
More Past Due (2) |
|
Total Past
Due 30 Days or More |
|
Total
Current or
Less Than
30 Days
Past Due
(3)
|
|
Purchased
Credit-impaired (4) |
|
Loans
Accounted
for Under
the Fair
Value Option
|
|
Total Outstandings
|
||||||||||||||||
Consumer real estate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Residential mortgage
|
$
|
1,214
|
|
|
$
|
368
|
|
|
$
|
1,414
|
|
|
$
|
2,996
|
|
|
$
|
138,799
|
|
|
|
|
|
|
|
|
$
|
141,795
|
|
||
Home equity
|
200
|
|
|
93
|
|
|
579
|
|
|
872
|
|
|
54,045
|
|
|
|
|
|
|
|
|
54,917
|
|
||||||||
Non-core portfolio
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
(5)
|
2,045
|
|
|
1,167
|
|
|
8,439
|
|
|
11,651
|
|
|
22,399
|
|
|
$
|
12,066
|
|
|
|
|
|
46,116
|
|
|||||||
Home equity
|
335
|
|
|
174
|
|
|
1,170
|
|
|
1,679
|
|
|
14,733
|
|
|
4,619
|
|
|
|
|
|
21,031
|
|
||||||||
Credit card and other consumer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
U.S. credit card
|
454
|
|
|
332
|
|
|
789
|
|
|
1,575
|
|
|
88,027
|
|
|
|
|
|
|
|
89,602
|
|
|||||||||
Non-U.S. credit card
|
39
|
|
|
31
|
|
|
76
|
|
|
146
|
|
|
9,829
|
|
|
|
|
|
|
|
9,975
|
|
|||||||||
Direct/Indirect consumer
(6)
|
227
|
|
|
62
|
|
|
42
|
|
|
331
|
|
|
88,464
|
|
|
|
|
|
|
|
88,795
|
|
|||||||||
Other consumer
(7)
|
18
|
|
|
3
|
|
|
4
|
|
|
25
|
|
|
2,042
|
|
|
|
|
|
|
|
2,067
|
|
|||||||||
Total consumer
|
4,532
|
|
|
2,230
|
|
|
12,513
|
|
|
19,275
|
|
|
418,338
|
|
|
16,685
|
|
|
|
|
454,298
|
|
|||||||||
Consumer loans accounted for under the fair value option
(8)
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
1,871
|
|
|
1,871
|
|
|||||||||||||
Total consumer loans and leases
|
4,532
|
|
|
2,230
|
|
|
12,513
|
|
|
19,275
|
|
|
418,338
|
|
|
16,685
|
|
|
1,871
|
|
|
456,169
|
|
||||||||
Commercial
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
U.S. commercial
|
444
|
|
|
148
|
|
|
332
|
|
|
924
|
|
|
251,847
|
|
|
|
|
|
|
|
252,771
|
|
|||||||||
Commercial real estate
(9)
|
36
|
|
|
11
|
|
|
82
|
|
|
129
|
|
|
57,070
|
|
|
|
|
|
|
|
57,199
|
|
|||||||||
Commercial lease financing
|
150
|
|
|
29
|
|
|
20
|
|
|
199
|
|
|
21,153
|
|
|
|
|
|
|
|
21,352
|
|
|||||||||
Non-U.S. commercial
|
6
|
|
|
1
|
|
|
1
|
|
|
8
|
|
|
91,541
|
|
|
|
|
|
|
|
91,549
|
|
|||||||||
U.S. small business commercial
|
83
|
|
|
41
|
|
|
72
|
|
|
196
|
|
|
12,680
|
|
|
|
|
|
|
|
12,876
|
|
|||||||||
Total commercial
|
719
|
|
|
230
|
|
|
507
|
|
|
1,456
|
|
|
434,291
|
|
|
|
|
|
|
|
435,747
|
|
|||||||||
Commercial loans accounted for under the fair value option
(8)
|
|
|
|
|
|
|
|
|
|
|
|
|
5,067
|
|
|
5,067
|
|
||||||||||||||
Total commercial loans and leases
|
719
|
|
|
230
|
|
|
507
|
|
|
1,456
|
|
|
434,291
|
|
|
|
|
5,067
|
|
|
440,814
|
|
|||||||||
Total loans and leases
(10)
|
$
|
5,251
|
|
|
$
|
2,460
|
|
|
$
|
13,020
|
|
|
$
|
20,731
|
|
|
$
|
852,629
|
|
|
$
|
16,685
|
|
|
$
|
6,938
|
|
|
$
|
896,983
|
|
Percentage of outstandings
|
0.59
|
%
|
|
0.27
|
%
|
|
1.45
|
%
|
|
2.31
|
%
|
|
95.06
|
%
|
|
1.86
|
%
|
|
0.77
|
%
|
|
100.00
|
%
|
(1)
|
Consumer real estate loans 30-59 days past due includes fully-insured loans of
$1.7 billion
and nonperforming loans of
$379 million
. Consumer real estate loans 60-89 days past due includes fully-insured loans of
$1.0 billion
and nonperforming loans of
$297 million
.
|
(2)
|
Consumer real estate includes fully-insured loans of
$7.2 billion
.
|
(3)
|
Consumer real estate includes
$3.0 billion
and direct/indirect consumer includes
$21 million
of nonperforming loans.
|
(4)
|
PCI loan amounts are shown gross of the valuation allowance.
|
(5)
|
Total outstandings includes pay option loans of
$2.3 billion
. The Corporation no longer originates this product.
|
(6)
|
Total outstandings includes auto and specialty lending loans of
$42.6 billion
, unsecured consumer lending loans of
$886 million
, U.S. securities-based lending loans of
$39.8 billion
, non-U.S. consumer loans of
$3.9 billion
, student loans of
$564 million
and other consumer loans of
$1.0 billion
.
|
(7)
|
Total outstandings includes consumer finance loans of
$564 million
, consumer leases of
$1.4 billion
and consumer overdrafts of
$146 million
.
|
(8)
|
Consumer loans accounted for under the fair value option were residential mortgage loans of
$1.6 billion
and home equity loans of
$250 million
. Commercial loans accounted for under the fair value option were U.S. commercial loans of
$2.3 billion
and non-U.S. commercial loans of
$2.8 billion
. For additional information, see
Note 20 – Fair Value Measurements
and
Note 21 – Fair Value Option
.
|
(9)
|
Total outstandings includes U.S. commercial real estate loans of
$53.6 billion
and non-U.S. commercial real estate loans of
$3.5 billion
.
|
(10)
|
The Corporation pledged
$149.4 billion
of loans to secure potential borrowing capacity with the Federal Reserve Bank and FHLB. This amount is not included in the parenthetical disclosure of loans and leases pledged as collateral on the Consolidated Balance Sheet as there were no related outstanding borrowings.
|
146
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
Credit Quality
|
|
|
|||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31
|
||||||||||||||
|
Nonperforming Loans and Leases
|
|
Accruing Past Due
90 Days or More
|
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||
Consumer real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||
Core portfolio
|
|
|
|
|
|
|
|
||||||||
Residential mortgage
(1)
|
$
|
1,274
|
|
|
$
|
1,825
|
|
|
$
|
486
|
|
|
$
|
382
|
|
Home equity
|
969
|
|
|
974
|
|
|
—
|
|
|
—
|
|
||||
Non-core portfolio
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential mortgage
(1)
|
1,782
|
|
|
2,978
|
|
|
4,307
|
|
|
6,768
|
|
||||
Home equity
|
1,949
|
|
|
2,363
|
|
|
—
|
|
|
—
|
|
||||
Credit card and other consumer
|
|
|
|
|
|
|
|
|
|
||||||
U.S. credit card
|
n/a
|
|
|
n/a
|
|
|
782
|
|
|
789
|
|
||||
Non-U.S. credit card
|
n/a
|
|
|
n/a
|
|
|
66
|
|
|
76
|
|
||||
Direct/Indirect consumer
|
28
|
|
|
24
|
|
|
34
|
|
|
39
|
|
||||
Other consumer
|
2
|
|
|
1
|
|
|
4
|
|
|
3
|
|
||||
Total consumer
|
6,004
|
|
|
8,165
|
|
|
5,679
|
|
|
8,057
|
|
||||
Commercial
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. commercial
|
1,256
|
|
|
867
|
|
|
106
|
|
|
113
|
|
||||
Commercial real estate
|
72
|
|
|
93
|
|
|
7
|
|
|
3
|
|
||||
Commercial lease financing
|
36
|
|
|
12
|
|
|
19
|
|
|
15
|
|
||||
Non-U.S. commercial
|
279
|
|
|
158
|
|
|
5
|
|
|
1
|
|
||||
U.S. small business commercial
|
60
|
|
|
82
|
|
|
71
|
|
|
61
|
|
||||
Total commercial
|
1,703
|
|
|
1,212
|
|
|
208
|
|
|
193
|
|
||||
Total loans and leases
|
$
|
7,707
|
|
|
$
|
9,377
|
|
|
$
|
5,887
|
|
|
$
|
8,250
|
|
(1)
|
Residential mortgage loans in the core and non-core portfolios accruing past due
90
days or more are fully-insured loans. At
December 31, 2016 and 2015
, residential mortgage includes
$3.0 billion
and
$4.3 billion
of loans on which interest has been curtailed by the FHA, and therefore are no longer accruing interest, although principal is still insured, and
$1.8 billion
and
$2.9 billion
of loans on which interest is still accruing.
|
|
|
Bank of America 2016
147
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Consumer Real Estate – Credit Quality Indicators
(1)
|
|||||||||||||||||||||||
|
|
||||||||||||||||||||||
|
December 31, 2016
|
||||||||||||||||||||||
(Dollars in millions)
|
Core Portfolio Residential
Mortgage
(2)
|
|
Non-core Residential
Mortgage (2) |
|
Residential Mortgage PCI
(3)
|
|
Core Portfolio Home Equity
(2)
|
|
Non-core Home Equity
(2)
|
|
Home
Equity PCI
|
||||||||||||
Refreshed LTV
(4)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Less than or equal to 90 percent
|
$
|
129,737
|
|
|
$
|
14,280
|
|
|
$
|
7,811
|
|
|
$
|
47,171
|
|
|
$
|
8,480
|
|
|
$
|
1,942
|
|
Greater than 90 percent but less than or equal to 100 percent
|
3,634
|
|
|
1,446
|
|
|
1,021
|
|
|
1,006
|
|
|
1,668
|
|
|
630
|
|
||||||
Greater than 100 percent
|
1,872
|
|
|
1,972
|
|
|
1,295
|
|
|
1,196
|
|
|
3,311
|
|
|
1,039
|
|
||||||
Fully-insured loans
(5)
|
21,254
|
|
|
7,475
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total consumer real estate
|
$
|
156,497
|
|
|
$
|
25,173
|
|
|
$
|
10,127
|
|
|
$
|
49,373
|
|
|
$
|
13,459
|
|
|
$
|
3,611
|
|
Refreshed FICO score
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Less than 620
|
$
|
2,479
|
|
|
$
|
3,198
|
|
|
$
|
2,741
|
|
|
$
|
1,254
|
|
|
$
|
2,692
|
|
|
$
|
559
|
|
Greater than or equal to 620 and less than 680
|
5,094
|
|
|
2,807
|
|
|
2,241
|
|
|
2,853
|
|
|
3,094
|
|
|
636
|
|
||||||
Greater than or equal to 680 and less than 740
|
22,629
|
|
|
4,512
|
|
|
2,916
|
|
|
10,069
|
|
|
3,176
|
|
|
1,069
|
|
||||||
Greater than or equal to 740
|
105,041
|
|
|
7,181
|
|
|
2,229
|
|
|
35,197
|
|
|
4,497
|
|
|
1,347
|
|
||||||
Fully-insured loans
(5)
|
21,254
|
|
|
7,475
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total consumer real estate
|
$
|
156,497
|
|
|
$
|
25,173
|
|
|
$
|
10,127
|
|
|
$
|
49,373
|
|
|
$
|
13,459
|
|
|
$
|
3,611
|
|
(1)
|
Excludes
$1.1 billion
of loans accounted for under the fair value option.
|
(2)
|
Excludes PCI loans.
|
(3)
|
Includes
$1.6 billion
of pay option loans. The Corporation no longer originates this product.
|
(4)
|
Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance.
|
(5)
|
Credit quality indicators are not reported for fully-insured loans as principal repayment is insured.
|
|
|
|
|
|
|
|
|
||||||||
Credit Card and Other Consumer – Credit Quality Indicators
|
|||||||||||||||
|
|
||||||||||||||
|
December 31, 2016
|
||||||||||||||
(Dollars in millions)
|
U.S. Credit
Card
|
|
Non-U.S.
Credit Card
|
|
Direct/Indirect
Consumer
|
|
Other
Consumer
(1)
|
||||||||
Refreshed FICO score
|
|
|
|
|
|
|
|
|
|
|
|
||||
Less than 620
|
$
|
4,431
|
|
|
$
|
—
|
|
|
$
|
1,478
|
|
|
$
|
187
|
|
Greater than or equal to 620 and less than 680
|
12,364
|
|
|
—
|
|
|
2,070
|
|
|
222
|
|
||||
Greater than or equal to 680 and less than 740
|
34,828
|
|
|
—
|
|
|
12,491
|
|
|
404
|
|
||||
Greater than or equal to 740
|
40,655
|
|
|
—
|
|
|
33,420
|
|
|
1,525
|
|
||||
Other internal credit metrics
(2, 3, 4)
|
—
|
|
|
9,214
|
|
|
44,630
|
|
|
161
|
|
||||
Total credit card and other consumer
|
$
|
92,278
|
|
|
$
|
9,214
|
|
|
$
|
94,089
|
|
|
$
|
2,499
|
|
(1)
|
At December 31, 2016,
19 percent
of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited.
|
(2)
|
Other internal credit metrics may include delinquency status, geography or other factors.
|
(3)
|
Direct/indirect consumer includes
$43.1 billion
of securities-based lending which is overcollateralized and therefore has minimal credit risk and
$499 million
of loans the Corporation no longer originates, primarily student loans.
|
(4)
|
Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At
December 31, 2016
,
98 percent
of this portfolio was current or less than 30 days past due,
one percent
was 30-89 days past due and
one percent
was 90 days or more past due.
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial – Credit Quality Indicators
(1)
|
|||||||||||||||||||
|
|
||||||||||||||||||
|
December 31, 2016
|
||||||||||||||||||
(Dollars in millions)
|
U.S.
Commercial
|
|
Commercial
Real Estate
|
|
Commercial
Lease
Financing
|
|
Non-U.S.
Commercial
|
|
U.S. Small
Business
Commercial
(2)
|
||||||||||
Risk ratings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Pass rated
|
$
|
261,214
|
|
|
$
|
56,957
|
|
|
$
|
21,565
|
|
|
$
|
85,689
|
|
|
$
|
453
|
|
Reservable criticized
|
9,158
|
|
|
398
|
|
|
810
|
|
|
3,708
|
|
|
71
|
|
|||||
Refreshed FICO score
(3)
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Less than 620
|
|
|
|
|
|
|
|
|
|
|
|
|
200
|
|
|||||
Greater than or equal to 620 and less than 680
|
|
|
|
|
|
|
|
|
591
|
|
|||||||||
Greater than or equal to 680 and less than 740
|
|
|
|
|
|
|
|
|
1,741
|
|
|||||||||
Greater than or equal to 740
|
|
|
|
|
|
|
|
|
3,264
|
|
|||||||||
Other internal credit metrics
(3, 4)
|
|
|
|
|
|
|
|
|
6,673
|
|
|||||||||
Total commercial
|
$
|
270,372
|
|
|
$
|
57,355
|
|
|
$
|
22,375
|
|
|
$
|
89,397
|
|
|
$
|
12,993
|
|
(1)
|
Excludes
$6.0 billion
of loans accounted for under the fair value option.
|
(2)
|
U.S. small business commercial includes
$755 million
of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At
December 31, 2016
,
98 percent
of the balances where internal credit metrics are used was current or less than 30 days past due.
|
(3)
|
Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio.
|
(4)
|
Other internal credit metrics may include delinquency status, application scores, geography or other factors.
|
148
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Consumer Real Estate – Credit Quality Indicators
(1)
|
|||||||||||||||||||||||
|
|
||||||||||||||||||||||
|
December 31, 2015
|
||||||||||||||||||||||
(Dollars in millions)
|
Core Portfolio Residential
Mortgage
(2)
|
|
Non-core Residential
Mortgage (2) |
|
Residential Mortgage PCI
(3)
|
|
Core Portfolio Home Equity
(2)
|
|
Non-core Home Equity
(2)
|
|
Home
Equity PCI
|
||||||||||||
Refreshed LTV
(4)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Less than or equal to 90 percent
|
$
|
110,023
|
|
|
$
|
16,481
|
|
|
$
|
8,655
|
|
|
$
|
51,262
|
|
|
$
|
8,347
|
|
|
$
|
2,003
|
|
Greater than 90 percent but less than or equal to 100 percent
|
4,038
|
|
|
2,224
|
|
|
1,403
|
|
|
1,858
|
|
|
2,190
|
|
|
852
|
|
||||||
Greater than 100 percent
|
2,638
|
|
|
3,364
|
|
|
2,008
|
|
|
1,797
|
|
|
5,875
|
|
|
1,764
|
|
||||||
Fully-insured loans
(5)
|
25,096
|
|
|
11,981
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total consumer real estate
|
$
|
141,795
|
|
|
$
|
34,050
|
|
|
$
|
12,066
|
|
|
$
|
54,917
|
|
|
$
|
16,412
|
|
|
$
|
4,619
|
|
Refreshed FICO score
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Less than 620
|
$
|
3,129
|
|
|
$
|
4,749
|
|
|
$
|
3,798
|
|
|
$
|
1,322
|
|
|
$
|
3,490
|
|
|
$
|
729
|
|
Greater than or equal to 620 and less than 680
|
5,472
|
|
|
3,762
|
|
|
2,586
|
|
|
3,295
|
|
|
3,862
|
|
|
825
|
|
||||||
Greater than or equal to 680 and less than 740
|
22,486
|
|
|
5,138
|
|
|
3,187
|
|
|
12,180
|
|
|
3,451
|
|
|
1,356
|
|
||||||
Greater than or equal to 740
|
85,612
|
|
|
8,420
|
|
|
2,495
|
|
|
38,120
|
|
|
5,609
|
|
|
1,709
|
|
||||||
Fully-insured loans
(5)
|
25,096
|
|
|
11,981
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total consumer real estate
|
$
|
141,795
|
|
|
$
|
34,050
|
|
|
$
|
12,066
|
|
|
$
|
54,917
|
|
|
$
|
16,412
|
|
|
$
|
4,619
|
|
(1)
|
Excludes
$1.9 billion
of loans accounted for under the fair value option.
|
(2)
|
Excludes PCI loans.
|
(3)
|
Includes
$2.0 billion
of pay option loans. The Corporation no longer originates this product.
|
(4)
|
Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance.
|
(5)
|
Credit quality indicators are not reported for fully-insured loans as principal repayment is insured.
|
|
|
|
|
|
|
|
|
||||||||
Credit Card and Other Consumer – Credit Quality Indicators
|
|||||||||||||||
|
|
||||||||||||||
|
December 31, 2015
|
||||||||||||||
(Dollars in millions)
|
U.S. Credit
Card
|
|
Non-U.S.
Credit Card
|
|
Direct/Indirect
Consumer
|
|
Other
Consumer
(1)
|
||||||||
Refreshed FICO score
|
|
|
|
|
|
|
|
|
|
|
|
||||
Less than 620
|
$
|
4,196
|
|
|
$
|
—
|
|
|
$
|
1,244
|
|
|
$
|
217
|
|
Greater than or equal to 620 and less than 680
|
11,857
|
|
|
—
|
|
|
1,698
|
|
|
214
|
|
||||
Greater than or equal to 680 and less than 740
|
34,270
|
|
|
—
|
|
|
10,955
|
|
|
337
|
|
||||
Greater than or equal to 740
|
39,279
|
|
|
—
|
|
|
29,581
|
|
|
1,149
|
|
||||
Other internal credit metrics
(2, 3, 4)
|
—
|
|
|
9,975
|
|
|
45,317
|
|
|
150
|
|
||||
Total credit card and other consumer
|
$
|
89,602
|
|
|
$
|
9,975
|
|
|
$
|
88,795
|
|
|
$
|
2,067
|
|
(1)
|
At December 31, 2015,
27 percent
of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited.
|
(2)
|
Other internal credit metrics may include delinquency status, geography or other factors.
|
(3)
|
Direct/indirect consumer includes
$43.7 billion
of securities-based lending which is overcollateralized and therefore has minimal credit risk and
$567 million
of loans the Corporation no longer originates, primarily student loans.
|
(4)
|
Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At
December 31, 2015
,
98 percent
of this portfolio was current or less than 30 days past due,
one percent
was 30-89 days past due and
one percent
was 90 days or more past due.
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial – Credit Quality Indicators
(1)
|
|||||||||||||||||||
|
|
||||||||||||||||||
|
December 31, 2015
|
||||||||||||||||||
(Dollars in millions)
|
U.S.
Commercial
|
|
Commercial
Real Estate
|
|
Commercial
Lease
Financing
|
|
Non-U.S.
Commercial
|
|
U.S. Small
Business
Commercial
(2)
|
||||||||||
Risk ratings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Pass rated
|
$
|
243,922
|
|
|
$
|
56,688
|
|
|
$
|
20,644
|
|
|
$
|
87,905
|
|
|
$
|
571
|
|
Reservable criticized
|
8,849
|
|
|
511
|
|
|
708
|
|
|
3,644
|
|
|
96
|
|
|||||
Refreshed FICO score
(3)
|
|
|
|
|
|
|
|
|
|
||||||||||
Less than 620
|
|
|
|
|
|
|
|
|
184
|
|
|||||||||
Greater than or equal to 620 and less than 680
|
|
|
|
|
|
|
|
|
543
|
|
|||||||||
Greater than or equal to 680 and less than 740
|
|
|
|
|
|
|
|
|
1,627
|
|
|||||||||
Greater than or equal to 740
|
|
|
|
|
|
|
|
|
3,027
|
|
|||||||||
Other internal credit metrics
(3, 4)
|
|
|
|
|
|
|
|
|
6,828
|
|
|||||||||
Total commercial
|
$
|
252,771
|
|
|
$
|
57,199
|
|
|
$
|
21,352
|
|
|
$
|
91,549
|
|
|
$
|
12,876
|
|
(1)
|
Excludes
$5.1 billion
of loans accounted for under the fair value option.
|
(2)
|
U.S. small business commercial includes
$670 million
of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At
December 31, 2015
,
98 percent
of the balances where internal credit metrics are used was current or less than 30 days past due.
|
(3)
|
Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio.
|
(4)
|
Other internal credit metrics may include delinquency status, application scores, geography or other factors.
|
|
|
Bank of America 2016
149
|
150
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Impaired Loans – Consumer Real Estate
|
|
|
|||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||||||||||
(Dollars in millions)
|
Unpaid
Principal
Balance
|
|
Carrying
Value
|
|
Related
Allowance
|
|
Unpaid
Principal
Balance
|
|
Carrying
Value
|
|
Related
Allowance
|
||||||||||||
With no recorded allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Residential mortgage
|
$
|
11,151
|
|
|
$
|
8,695
|
|
|
$
|
—
|
|
|
$
|
14,888
|
|
|
$
|
11,901
|
|
|
$
|
—
|
|
Home equity
|
3,704
|
|
|
1,953
|
|
|
—
|
|
|
3,545
|
|
|
1,775
|
|
|
—
|
|
||||||
With an allowance recorded
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Residential mortgage
|
$
|
4,041
|
|
|
$
|
3,936
|
|
|
$
|
219
|
|
|
$
|
6,624
|
|
|
$
|
6,471
|
|
|
$
|
399
|
|
Home equity
|
910
|
|
|
824
|
|
|
137
|
|
|
1,047
|
|
|
911
|
|
|
235
|
|
||||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
$
|
15,192
|
|
|
$
|
12,631
|
|
|
$
|
219
|
|
|
$
|
21,512
|
|
|
$
|
18,372
|
|
|
$
|
399
|
|
Home equity
|
4,614
|
|
|
2,777
|
|
|
137
|
|
|
4,592
|
|
|
2,686
|
|
|
235
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||||||||||||||
|
Average
Carrying Value |
|
Interest
Income Recognized (1) |
|
Average
Carrying Value |
|
Interest
Income Recognized (1) |
|
Average
Carrying Value |
|
Interest
Income Recognized (1) |
||||||||||||
With no recorded allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
$
|
10,178
|
|
|
$
|
360
|
|
|
$
|
13,867
|
|
|
$
|
403
|
|
|
$
|
15,065
|
|
|
$
|
490
|
|
Home equity
|
1,906
|
|
|
90
|
|
|
1,777
|
|
|
89
|
|
|
1,486
|
|
|
87
|
|
||||||
With an allowance recorded
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential mortgage
|
$
|
5,067
|
|
|
$
|
167
|
|
|
$
|
7,290
|
|
|
$
|
236
|
|
|
$
|
10,826
|
|
|
$
|
411
|
|
Home equity
|
852
|
|
|
24
|
|
|
785
|
|
|
24
|
|
|
743
|
|
|
25
|
|
||||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
$
|
15,245
|
|
|
$
|
527
|
|
|
$
|
21,157
|
|
|
$
|
639
|
|
|
$
|
25,891
|
|
|
$
|
901
|
|
Home equity
|
2,758
|
|
|
114
|
|
|
2,562
|
|
|
113
|
|
|
2,229
|
|
|
112
|
|
(1)
|
Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible.
|
|
|
|
|
|
|
|
|
|
|
||||||||
Consumer Real Estate – TDRs Entered into During 2016, 2015 and 2014
(1)
|
|||||||||||||||||
|
|
||||||||||||||||
|
December 31, 2016
|
|
2016
|
||||||||||||||
(Dollars in millions)
|
Unpaid Principal Balance
|
|
Carrying
Value
|
|
Pre-Modification Interest Rate
|
|
Post-Modification Interest Rate
(2)
|
|
Net
Charge-offs
(3)
|
||||||||
Residential mortgage
|
$
|
1,130
|
|
|
$
|
1,017
|
|
|
4.73
|
%
|
|
4.16
|
%
|
|
$
|
11
|
|
Home equity
|
849
|
|
|
649
|
|
|
3.95
|
|
|
2.72
|
|
|
61
|
|
|||
Total
|
$
|
1,979
|
|
|
$
|
1,666
|
|
|
4.40
|
|
|
3.54
|
|
|
$
|
72
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2015
|
|
2015
|
||||||||||||||
Residential mortgage
|
$
|
2,986
|
|
|
$
|
2,655
|
|
|
4.98
|
%
|
|
4.43
|
%
|
|
$
|
97
|
|
Home equity
|
1,019
|
|
|
775
|
|
|
3.54
|
|
|
3.17
|
|
|
84
|
|
|||
Total
|
$
|
4,005
|
|
|
$
|
3,430
|
|
|
4.61
|
|
|
4.11
|
|
|
$
|
181
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2014
|
|
2014
|
||||||||||||||
Residential mortgage
|
$
|
5,940
|
|
|
$
|
5,120
|
|
|
5.28
|
%
|
|
4.93
|
%
|
|
$
|
72
|
|
Home equity
|
863
|
|
|
592
|
|
|
4.00
|
|
|
3.33
|
|
|
99
|
|
|||
Total
|
$
|
6,803
|
|
|
$
|
5,712
|
|
|
5.12
|
|
|
4.73
|
|
|
$
|
171
|
|
(1)
|
During
2016
,
2015
and
2014
, the Corporation forgave principal of
$13 million
,
$396 million
and
$53 million
, respectively, related to residential mortgage loans in connection with TDRs.
|
(2)
|
The post-modification interest rate reflects the interest rate applicable only to permanently completed modifications, which exclude loans that are in a trial modification period.
|
(3)
|
Net charge-offs include amounts recorded on loans modified during the period that are no longer held by the Corporation at
December 31, 2016, 2015 and 2014
due to sales and other dispositions.
|
|
|
Bank of America 2016
151
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Consumer Real Estate – Modification Programs
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
TDRs Entered into During 2016
|
|
TDRs Entered into During 2015
|
|
TDRs Entered into During 2014
|
||||||||||||||||||
(Dollars in millions)
|
Residential Mortgage
|
|
Home
Equity
|
|
Residential Mortgage
|
|
Home
Equity
|
|
Residential Mortgage
|
|
Home
Equity
|
||||||||||||
Modifications under government programs
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Contractual interest rate reduction
|
$
|
116
|
|
|
$
|
35
|
|
|
$
|
408
|
|
|
$
|
23
|
|
|
$
|
643
|
|
|
$
|
56
|
|
Principal and/or interest forbearance
|
2
|
|
|
11
|
|
|
4
|
|
|
7
|
|
|
16
|
|
|
18
|
|
||||||
Other modifications
(1)
|
22
|
|
|
1
|
|
|
46
|
|
|
—
|
|
|
98
|
|
|
1
|
|
||||||
Total modifications under government programs
|
140
|
|
|
47
|
|
|
458
|
|
|
30
|
|
|
757
|
|
|
75
|
|
||||||
Modifications under proprietary programs
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Contractual interest rate reduction
|
84
|
|
|
151
|
|
|
191
|
|
|
28
|
|
|
244
|
|
|
22
|
|
||||||
Capitalization of past due amounts
|
24
|
|
|
16
|
|
|
69
|
|
|
10
|
|
|
71
|
|
|
2
|
|
||||||
Principal and/or interest forbearance
|
10
|
|
|
62
|
|
|
124
|
|
|
44
|
|
|
66
|
|
|
75
|
|
||||||
Other modifications
(1)
|
4
|
|
|
71
|
|
|
34
|
|
|
95
|
|
|
40
|
|
|
47
|
|
||||||
Total modifications under proprietary programs
|
122
|
|
|
300
|
|
|
418
|
|
|
177
|
|
|
421
|
|
|
146
|
|
||||||
Trial modifications
|
597
|
|
|
234
|
|
|
1,516
|
|
|
452
|
|
|
3,421
|
|
|
182
|
|
||||||
Loans discharged in Chapter 7 bankruptcy
(2)
|
158
|
|
|
68
|
|
|
263
|
|
|
116
|
|
|
521
|
|
|
189
|
|
||||||
Total modifications
|
$
|
1,017
|
|
|
$
|
649
|
|
|
$
|
2,655
|
|
|
$
|
775
|
|
|
$
|
5,120
|
|
|
$
|
592
|
|
(1)
|
Includes other modifications such as term or payment extensions and repayment plans.
|
(2)
|
Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs.
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Consumer Real Estate – TDRs Entering Payment Default That Were Modified During the Preceding 12 Months
(1)
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||||||||||||||
(Dollars in millions)
|
Residential Mortgage
|
|
Home
Equity
|
|
Residential Mortgage
|
|
Home
Equity
|
|
Residential Mortgage
|
|
Home
Equity |
||||||||||||
Modifications under government programs
|
$
|
259
|
|
|
$
|
3
|
|
|
$
|
452
|
|
|
$
|
5
|
|
|
$
|
696
|
|
|
$
|
4
|
|
Modifications under proprietary programs
|
133
|
|
|
63
|
|
|
263
|
|
|
24
|
|
|
714
|
|
|
12
|
|
||||||
Loans discharged in Chapter 7 bankruptcy
(2)
|
136
|
|
|
22
|
|
|
238
|
|
|
47
|
|
|
481
|
|
|
70
|
|
||||||
Trial modifications
(3)
|
714
|
|
|
110
|
|
|
2,997
|
|
|
181
|
|
|
2,231
|
|
|
56
|
|
||||||
Total modifications
|
$
|
1,242
|
|
|
$
|
198
|
|
|
$
|
3,950
|
|
|
$
|
257
|
|
|
$
|
4,122
|
|
|
$
|
142
|
|
(1)
|
Includes loans with a carrying value of $
613 million
,
$1.8 billion
and
$2.0 billion
that entered into payment default during
2016
,
2015
and
2014
, respectively, but were no longer held by the Corporation as of
December 31, 2016, 2015 and 2014
due to sales and other dispositions.
|
(2)
|
Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs.
|
(3)
|
Includes trial modification offers to which the customer did not respond.
|
152
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Impaired Loans – Credit Card and Other Consumer
|
|
|
|||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||||||||||
(Dollars in millions)
|
Unpaid
Principal
Balance
|
|
Carrying
Value
(1)
|
|
Related
Allowance
|
|
Unpaid
Principal
Balance
|
|
Carrying
Value
(1)
|
|
Related
Allowance
|
||||||||||||
With no recorded allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Direct/Indirect consumer
|
$
|
49
|
|
|
$
|
22
|
|
|
$
|
—
|
|
|
$
|
50
|
|
|
$
|
21
|
|
|
$
|
—
|
|
With an allowance recorded
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
U.S. credit card
|
$
|
479
|
|
|
$
|
485
|
|
|
$
|
128
|
|
|
$
|
598
|
|
|
$
|
611
|
|
|
$
|
176
|
|
Non-U.S. credit card
|
88
|
|
|
100
|
|
|
61
|
|
|
109
|
|
|
126
|
|
|
70
|
|
||||||
Direct/Indirect consumer
|
3
|
|
|
3
|
|
|
—
|
|
|
17
|
|
|
21
|
|
|
4
|
|
||||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
U.S. credit card
|
$
|
479
|
|
|
$
|
485
|
|
|
$
|
128
|
|
|
$
|
598
|
|
|
$
|
611
|
|
|
$
|
176
|
|
Non-U.S. credit card
|
88
|
|
|
100
|
|
|
61
|
|
|
109
|
|
|
126
|
|
|
70
|
|
||||||
Direct/Indirect consumer
|
52
|
|
|
25
|
|
|
—
|
|
|
67
|
|
|
42
|
|
|
4
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||||||||||||||
|
Average
Carrying Value |
|
Interest
Income Recognized (2) |
|
Average
Carrying Value |
|
Interest
Income Recognized (2) |
|
Average
Carrying Value |
|
Interest
Income Recognized (2) |
||||||||||||
With no recorded allowance
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Direct/Indirect consumer
|
$
|
20
|
|
|
$
|
—
|
|
|
$
|
22
|
|
|
$
|
—
|
|
|
$
|
27
|
|
|
$
|
—
|
|
Other consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
33
|
|
|
2
|
|
||||||
With an allowance recorded
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. credit card
|
$
|
556
|
|
|
$
|
31
|
|
|
$
|
749
|
|
|
$
|
43
|
|
|
$
|
1,148
|
|
|
$
|
71
|
|
Non-U.S. credit card
|
111
|
|
|
3
|
|
|
145
|
|
|
4
|
|
|
210
|
|
|
6
|
|
||||||
Direct/Indirect consumer
|
10
|
|
|
1
|
|
|
51
|
|
|
3
|
|
|
180
|
|
|
9
|
|
||||||
Other consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
23
|
|
|
1
|
|
||||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. credit card
|
$
|
556
|
|
|
$
|
31
|
|
|
$
|
749
|
|
|
$
|
43
|
|
|
$
|
1,148
|
|
|
$
|
71
|
|
Non-U.S. credit card
|
111
|
|
|
3
|
|
|
145
|
|
|
4
|
|
|
210
|
|
|
6
|
|
||||||
Direct/Indirect consumer
|
30
|
|
|
1
|
|
|
73
|
|
|
3
|
|
|
207
|
|
|
9
|
|
||||||
Other consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
56
|
|
|
3
|
|
(1)
|
Includes accrued interest and fees.
|
(2)
|
Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Credit Card and Other Consumer – TDRs by Program Type
|
|||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||||||
|
December 31
|
||||||||||||||||||||||||||||||||||||
|
Internal Programs
|
|
External Programs
|
|
Other
(1)
|
|
Total
|
|
Percent of Balances Current or Less Than 30 Days Past Due
|
||||||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||||
U.S. credit card
|
$
|
220
|
|
|
$
|
313
|
|
|
$
|
264
|
|
|
$
|
296
|
|
|
$
|
1
|
|
|
$
|
2
|
|
|
$
|
485
|
|
|
$
|
611
|
|
|
88.99
|
%
|
|
88.74
|
%
|
Non-U.S. credit card
|
11
|
|
|
21
|
|
|
7
|
|
|
10
|
|
|
82
|
|
|
95
|
|
|
100
|
|
|
126
|
|
|
38.47
|
|
|
44.25
|
|
||||||||
Direct/Indirect consumer
|
2
|
|
|
11
|
|
|
1
|
|
|
7
|
|
|
22
|
|
|
24
|
|
|
25
|
|
|
42
|
|
|
90.49
|
|
|
89.12
|
|
||||||||
Total TDRs by program type
|
$
|
233
|
|
|
$
|
345
|
|
|
$
|
272
|
|
|
$
|
313
|
|
|
$
|
105
|
|
|
$
|
121
|
|
|
$
|
610
|
|
|
$
|
779
|
|
|
80.79
|
|
|
81.55
|
|
(1)
|
Other TDRs for non-U.S. credit card include modifications of accounts that are ineligible for a fixed payment plan.
|
|
|
|
|
|
|
|
|
|
|
Bank of America 2016
153
|
|
|
|
|
|
|
|
|
|
|
||||||||
Credit Card and Other Consumer – TDRs Entered into During 2016, 2015 and 2014
|
|||||||||||||||||
|
|
||||||||||||||||
|
December 31, 2016
|
|
2016
|
||||||||||||||
(Dollars in millions)
|
Unpaid Principal Balance
|
|
Carrying Value
(1)
|
|
Pre-Modification Interest Rate
|
|
Post-Modification Interest Rate
|
|
Net
Charge-offs
|
||||||||
U.S. credit card
|
$
|
163
|
|
|
$
|
172
|
|
|
17.54
|
%
|
|
5.47
|
%
|
|
$
|
15
|
|
Non-U.S. credit card
|
66
|
|
|
75
|
|
|
23.99
|
|
|
0.52
|
|
|
50
|
|
|||
Direct/Indirect consumer
|
21
|
|
|
13
|
|
|
3.44
|
|
|
3.29
|
|
|
9
|
|
|||
Total
|
$
|
250
|
|
|
$
|
260
|
|
|
18.73
|
|
|
3.93
|
|
|
$
|
74
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2015
|
|
2015
|
||||||||||||||
U.S. credit card
|
$
|
205
|
|
|
$
|
218
|
|
|
17.07
|
%
|
|
5.08
|
%
|
|
$
|
26
|
|
Non-U.S. credit card
|
74
|
|
|
86
|
|
|
24.05
|
|
|
0.53
|
|
|
63
|
|
|||
Direct/Indirect consumer
|
19
|
|
|
12
|
|
|
5.95
|
|
|
5.19
|
|
|
9
|
|
|||
Total
|
$
|
298
|
|
|
$
|
316
|
|
|
18.58
|
|
|
3.84
|
|
|
$
|
98
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2014
|
|
2014
|
||||||||||||||
U.S. credit card
|
$
|
276
|
|
|
$
|
301
|
|
|
16.64
|
%
|
|
5.15
|
%
|
|
$
|
37
|
|
Non-U.S. credit card
|
91
|
|
|
106
|
|
|
24.90
|
|
|
0.68
|
|
|
91
|
|
|||
Direct/Indirect consumer
|
27
|
|
|
19
|
|
|
8.66
|
|
|
4.90
|
|
|
14
|
|
|||
Total
|
$
|
394
|
|
|
$
|
426
|
|
|
18.32
|
|
|
4.03
|
|
|
$
|
142
|
|
(1)
|
Includes accrued interest and fees.
|
154
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Impaired Loans – Commercial
|
|
|
|||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||||||||||
(Dollars in millions)
|
Unpaid
Principal
Balance
|
|
Carrying
Value
|
|
Related
Allowance
|
|
Unpaid
Principal
Balance
|
|
Carrying
Value
|
|
Related
Allowance
|
||||||||||||
With no recorded allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
U.S. commercial
|
$
|
860
|
|
|
$
|
827
|
|
|
$
|
—
|
|
|
$
|
566
|
|
|
$
|
541
|
|
|
$
|
—
|
|
Commercial real estate
|
77
|
|
|
71
|
|
|
—
|
|
|
82
|
|
|
77
|
|
|
—
|
|
||||||
Non-U.S. commercial
|
130
|
|
|
130
|
|
|
—
|
|
|
4
|
|
|
4
|
|
|
—
|
|
||||||
With an allowance recorded
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
U.S. commercial
|
$
|
2,018
|
|
|
$
|
1,569
|
|
|
$
|
132
|
|
|
$
|
1,350
|
|
|
$
|
1,157
|
|
|
$
|
115
|
|
Commercial real estate
|
243
|
|
|
96
|
|
|
10
|
|
|
328
|
|
|
107
|
|
|
11
|
|
||||||
Commercial lease financing
|
6
|
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Non-U.S. commercial
|
545
|
|
|
432
|
|
|
104
|
|
|
531
|
|
|
381
|
|
|
56
|
|
||||||
U.S. small business commercial
(1)
|
85
|
|
|
73
|
|
|
27
|
|
|
105
|
|
|
101
|
|
|
35
|
|
||||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
U.S. commercial
|
$
|
2,878
|
|
|
$
|
2,396
|
|
|
$
|
132
|
|
|
$
|
1,916
|
|
|
$
|
1,698
|
|
|
$
|
115
|
|
Commercial real estate
|
320
|
|
|
167
|
|
|
10
|
|
|
410
|
|
|
184
|
|
|
11
|
|
||||||
Commercial lease financing
|
6
|
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Non-U.S. commercial
|
675
|
|
|
562
|
|
|
104
|
|
|
535
|
|
|
385
|
|
|
56
|
|
||||||
U.S. small business commercial
(1)
|
85
|
|
|
73
|
|
|
27
|
|
|
105
|
|
|
101
|
|
|
35
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||||||||||||||
|
Average
Carrying Value |
|
Interest
Income Recognized (2) |
|
Average
Carrying Value |
|
Interest
Income Recognized (2) |
|
Average
Carrying Value |
|
Interest
Income Recognized (2) |
||||||||||||
With no recorded allowance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. commercial
|
$
|
787
|
|
|
$
|
14
|
|
|
$
|
688
|
|
|
$
|
14
|
|
|
$
|
546
|
|
|
$
|
12
|
|
Commercial real estate
|
67
|
|
|
—
|
|
|
75
|
|
|
1
|
|
|
166
|
|
|
3
|
|
||||||
Non-U.S. commercial
|
34
|
|
|
1
|
|
|
29
|
|
|
1
|
|
|
15
|
|
|
—
|
|
||||||
With an allowance recorded
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. commercial
|
$
|
1,569
|
|
|
$
|
59
|
|
|
$
|
953
|
|
|
$
|
48
|
|
|
$
|
1,198
|
|
|
$
|
51
|
|
Commercial real estate
|
92
|
|
|
4
|
|
|
216
|
|
|
7
|
|
|
632
|
|
|
16
|
|
||||||
Commercial lease financing
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Non-U.S. commercial
|
409
|
|
|
14
|
|
|
125
|
|
|
7
|
|
|
52
|
|
|
3
|
|
||||||
U.S. small business commercial
(1)
|
87
|
|
|
1
|
|
|
109
|
|
|
1
|
|
|
151
|
|
|
3
|
|
||||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. commercial
|
$
|
2,356
|
|
|
$
|
73
|
|
|
$
|
1,641
|
|
|
$
|
62
|
|
|
$
|
1,744
|
|
|
$
|
63
|
|
Commercial real estate
|
159
|
|
|
4
|
|
|
291
|
|
|
8
|
|
|
798
|
|
|
19
|
|
||||||
Commercial lease financing
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Non-U.S. commercial
|
443
|
|
|
15
|
|
|
154
|
|
|
8
|
|
|
67
|
|
|
3
|
|
||||||
U.S. small business commercial
(1)
|
87
|
|
|
1
|
|
|
109
|
|
|
1
|
|
|
151
|
|
|
3
|
|
(1)
|
Includes U.S. small business commercial renegotiated TDR loans and related allowance.
|
(2)
|
Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible.
|
|
|
Bank of America 2016
155
|
|
|
|
|
|
|
||||||
Commercial – TDRs Entered into During 2016, 2015 and 2014
|
|||||||||||
|
|
||||||||||
|
December 31, 2016
|
|
2016
|
||||||||
(Dollars in millions)
|
Unpaid Principal Balance
|
|
Carrying Value
|
|
Net Charge-offs
|
||||||
U.S. commercial
|
$
|
1,556
|
|
|
$
|
1,482
|
|
|
$
|
86
|
|
Commercial real estate
|
77
|
|
|
77
|
|
|
1
|
|
|||
Commercial lease financing
|
6
|
|
|
4
|
|
|
2
|
|
|||
Non-U.S. commercial
|
255
|
|
|
253
|
|
|
48
|
|
|||
U.S. small business commercial
(1)
|
1
|
|
|
1
|
|
|
—
|
|
|||
Total
|
$
|
1,895
|
|
|
$
|
1,817
|
|
|
$
|
137
|
|
|
|
|
|
|
|
||||||
|
December 31, 2015
|
|
2015
|
||||||||
U.S. commercial
|
$
|
853
|
|
|
$
|
779
|
|
|
$
|
28
|
|
Commercial real estate
|
42
|
|
|
42
|
|
|
—
|
|
|||
Non-U.S. commercial
|
329
|
|
|
326
|
|
|
—
|
|
|||
U.S. small business commercial
(1)
|
14
|
|
|
11
|
|
|
3
|
|
|||
Total
|
$
|
1,238
|
|
|
$
|
1,158
|
|
|
$
|
31
|
|
|
|
|
|
|
|
||||||
|
December 31, 2014
|
|
2014
|
||||||||
U.S. commercial
|
$
|
818
|
|
|
$
|
785
|
|
|
$
|
49
|
|
Commercial real estate
|
346
|
|
|
346
|
|
|
8
|
|
|||
Non-U.S. commercial
|
44
|
|
|
43
|
|
|
—
|
|
|||
U.S. small business commercial
(1)
|
3
|
|
|
3
|
|
|
—
|
|
|||
Total
|
$
|
1,211
|
|
|
$
|
1,177
|
|
|
$
|
57
|
|
(1)
|
U.S. small business commercial TDRs are comprised of renegotiated small business card loans.
|
|
|
|
|
Rollforward of Accretable Yield
|
|
||
|
|
||
(Dollars in millions)
|
|
|
|
Accretable yield, January 1, 2015
|
$
|
5,608
|
|
Accretion
|
(861
|
)
|
|
Disposals/transfers
|
(465
|
)
|
|
Reclassifications from nonaccretable difference
|
287
|
|
|
Accretable yield, December 31, 2015
|
4,569
|
|
|
Accretion
|
(722
|
)
|
|
Disposals/transfers
|
(486
|
)
|
|
Reclassifications from nonaccretable difference
|
444
|
|
|
Accretable yield, December 31, 2016
|
$
|
3,805
|
|
156
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
2016
|
||||||||||||||
(Dollars in millions)
|
Consumer Real Estate
|
|
Credit Card
and Other
Consumer
|
|
Commercial
|
|
Total
Allowance
|
||||||||
Allowance for loan and lease losses, January 1
|
$
|
3,914
|
|
|
$
|
3,471
|
|
|
$
|
4,849
|
|
|
$
|
12,234
|
|
Loans and leases charged off
|
(1,155
|
)
|
|
(3,553
|
)
|
|
(740
|
)
|
|
(5,448
|
)
|
||||
Recoveries of loans and leases previously charged off
|
619
|
|
|
770
|
|
|
238
|
|
|
1,627
|
|
||||
Net charge-offs
|
(536
|
)
|
|
(2,783
|
)
|
|
(502
|
)
|
|
(3,821
|
)
|
||||
Write-offs of PCI loans
|
(340
|
)
|
|
—
|
|
|
—
|
|
|
(340
|
)
|
||||
Provision for loan and lease losses
|
(258
|
)
|
|
2,826
|
|
|
1,013
|
|
|
3,581
|
|
||||
Other
(1)
|
(30
|
)
|
|
(42
|
)
|
|
(102
|
)
|
|
(174
|
)
|
||||
Allowance for loan and lease losses, December 31
|
2,750
|
|
|
3,472
|
|
|
5,258
|
|
|
11,480
|
|
||||
Less: Allowance included in assets of business held for sale
(2)
|
—
|
|
|
(243
|
)
|
|
—
|
|
|
(243
|
)
|
||||
Total allowance for loan and lease losses, December 31
|
2,750
|
|
|
3,229
|
|
|
5,258
|
|
|
11,237
|
|
||||
Reserve for unfunded lending commitments, January 1
|
—
|
|
|
—
|
|
|
646
|
|
|
646
|
|
||||
Provision for unfunded lending commitments
|
—
|
|
|
—
|
|
|
16
|
|
|
16
|
|
||||
Other
(1)
|
—
|
|
|
—
|
|
|
100
|
|
|
100
|
|
||||
Reserve for unfunded lending commitments, December 31
|
—
|
|
|
—
|
|
|
762
|
|
|
762
|
|
||||
Allowance for credit losses, December 31
|
$
|
2,750
|
|
|
$
|
3,229
|
|
|
$
|
6,020
|
|
|
$
|
11,999
|
|
|
2015
|
||||||||||||||
Allowance for loan and lease losses, January 1
|
$
|
5,935
|
|
|
$
|
4,047
|
|
|
$
|
4,437
|
|
|
$
|
14,419
|
|
Loans and leases charged off
|
(1,841
|
)
|
|
(3,620
|
)
|
|
(644
|
)
|
|
(6,105
|
)
|
||||
Recoveries of loans and leases previously charged off
|
732
|
|
|
813
|
|
|
222
|
|
|
1,767
|
|
||||
Net charge-offs
|
(1,109
|
)
|
|
(2,807
|
)
|
|
(422
|
)
|
|
(4,338
|
)
|
||||
Write-offs of PCI loans
|
(808
|
)
|
|
—
|
|
|
—
|
|
|
(808
|
)
|
||||
Provision for loan and lease losses
|
(70
|
)
|
|
2,278
|
|
|
835
|
|
|
3,043
|
|
||||
Other
(1)
|
(34
|
)
|
|
(47
|
)
|
|
(1
|
)
|
|
(82
|
)
|
||||
Allowance for loan and lease losses, December 31
|
3,914
|
|
|
3,471
|
|
|
4,849
|
|
|
12,234
|
|
||||
Reserve for unfunded lending commitments, January 1
|
—
|
|
|
—
|
|
|
528
|
|
|
528
|
|
||||
Provision for unfunded lending commitments
|
—
|
|
|
—
|
|
|
118
|
|
|
118
|
|
||||
Reserve for unfunded lending commitments, December 31
|
—
|
|
|
—
|
|
|
646
|
|
|
646
|
|
||||
Allowance for credit losses, December 31
|
$
|
3,914
|
|
|
$
|
3,471
|
|
|
$
|
5,495
|
|
|
$
|
12,880
|
|
|
2014
|
||||||||||||||
Allowance for loan and lease losses, January 1
|
$
|
8,518
|
|
|
$
|
4,905
|
|
|
$
|
4,005
|
|
|
$
|
17,428
|
|
Loans and leases charged off
|
(2,219
|
)
|
|
(4,149
|
)
|
|
(658
|
)
|
|
(7,026
|
)
|
||||
Recoveries of loans and leases previously charged off
|
1,426
|
|
|
871
|
|
|
346
|
|
|
2,643
|
|
||||
Net charge-offs
|
(793
|
)
|
|
(3,278
|
)
|
|
(312
|
)
|
|
(4,383
|
)
|
||||
Write-offs of PCI loans
|
(810
|
)
|
|
—
|
|
|
—
|
|
|
(810
|
)
|
||||
Provision for loan and lease losses
|
(976
|
)
|
|
2,458
|
|
|
749
|
|
|
2,231
|
|
||||
Other
(1)
|
(4
|
)
|
|
(38
|
)
|
|
(5
|
)
|
|
(47
|
)
|
||||
Allowance for loan and lease losses, December 31
|
5,935
|
|
|
4,047
|
|
|
4,437
|
|
|
14,419
|
|
||||
Reserve for unfunded lending commitments, January 1
|
—
|
|
|
—
|
|
|
484
|
|
|
484
|
|
||||
Provision for unfunded lending commitments
|
—
|
|
|
—
|
|
|
44
|
|
|
44
|
|
||||
Reserve for unfunded lending commitments, December 31
|
—
|
|
|
—
|
|
|
528
|
|
|
528
|
|
||||
Allowance for credit losses, December 31
|
$
|
5,935
|
|
|
$
|
4,047
|
|
|
$
|
4,965
|
|
|
$
|
14,947
|
|
(1)
|
Primarily represents the net impact of portfolio sales, consolidations and deconsolidations, foreign currency translation adjustments and certain other reclassifications.
|
(2)
|
Represents allowance for loan and lease losses related to the non-U.S. credit card loan portfolio, which is included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
|
|
Bank of America 2016
157
|
|
|
|
|
|
|
|
|
||||||||
Allowance and Carrying Value by Portfolio Segment
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2016
|
||||||||||||||
(Dollars in millions)
|
Consumer Real Estate
|
|
Credit Card
and Other
Consumer
|
|
Commercial
|
|
Total
|
||||||||
Impaired loans and troubled debt restructurings
(1)
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for loan and lease losses
(2)
|
$
|
356
|
|
|
$
|
189
|
|
|
$
|
273
|
|
|
$
|
818
|
|
Carrying value
(3)
|
15,408
|
|
|
610
|
|
|
3,202
|
|
|
19,220
|
|
||||
Allowance as a percentage of carrying value
|
2.31
|
%
|
|
30.98
|
%
|
|
8.53
|
%
|
|
4.26
|
%
|
||||
Loans collectively evaluated for impairment
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for loan and lease losses
|
$
|
1,975
|
|
|
$
|
3,283
|
|
|
$
|
4,985
|
|
|
$
|
10,243
|
|
Carrying value
(3, 4)
|
229,094
|
|
|
197,470
|
|
|
449,290
|
|
|
875,854
|
|
||||
Allowance as a percentage of carrying value
(4)
|
0.86
|
%
|
|
1.66
|
%
|
|
1.11
|
%
|
|
1.17
|
%
|
||||
Purchased credit-impaired loans
|
|
|
|
|
|
|
|
|
|
|
|||||
Valuation allowance
|
$
|
419
|
|
|
n/a
|
|
|
n/a
|
|
|
$
|
419
|
|
||
Carrying value gross of valuation allowance
|
13,738
|
|
|
n/a
|
|
|
n/a
|
|
|
13,738
|
|
||||
Valuation allowance as a percentage of carrying value
|
3.05
|
%
|
|
n/a
|
|
|
n/a
|
|
|
3.05
|
%
|
||||
Less: Assets of business held for sale
(5)
|
|
|
|
|
|
|
|
||||||||
Allowance for loan and lease losses
(6)
|
n/a
|
|
|
$
|
(243
|
)
|
|
n/a
|
|
|
$
|
(243
|
)
|
||
Carrying value
(3)
|
n/a
|
|
|
(9,214
|
)
|
|
n/a
|
|
|
(9,214
|
)
|
||||
Total
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total allowance for loan and lease losses
|
$
|
2,750
|
|
|
$
|
3,229
|
|
|
$
|
5,258
|
|
|
$
|
11,237
|
|
Carrying value
(3, 4)
|
258,240
|
|
|
188,866
|
|
|
452,492
|
|
|
899,598
|
|
||||
Total allowance as a percentage of carrying value
(4)
|
1.06
|
%
|
|
1.71
|
%
|
|
1.16
|
%
|
|
1.25
|
%
|
|
December 31, 2015
|
||||||||||||||
Impaired loans and troubled debt restructurings
(1)
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for loan and lease losses
(2)
|
$
|
634
|
|
|
$
|
250
|
|
|
$
|
217
|
|
|
$
|
1,101
|
|
Carrying value
(3)
|
21,058
|
|
|
779
|
|
|
2,368
|
|
|
24,205
|
|
||||
Allowance as a percentage of carrying value
|
3.01
|
%
|
|
32.09
|
%
|
|
9.16
|
%
|
|
4.55
|
%
|
||||
Loans collectively evaluated for impairment
|
|
|
|
|
|
|
|
|
|
|
|||||
Allowance for loan and lease losses
|
$
|
2,476
|
|
|
$
|
3,221
|
|
|
$
|
4,632
|
|
|
$
|
10,329
|
|
Carrying value
(3, 4)
|
226,116
|
|
|
189,660
|
|
|
433,379
|
|
|
849,155
|
|
||||
Allowance as a percentage of carrying value
(4)
|
1.10
|
%
|
|
1.70
|
%
|
|
1.07
|
%
|
|
1.22
|
%
|
||||
Purchased credit-impaired loans
|
|
|
|
|
|
|
|
|
|
|
|||||
Valuation allowance
|
$
|
804
|
|
|
n/a
|
|
|
n/a
|
|
|
$
|
804
|
|
||
Carrying value gross of valuation allowance
|
16,685
|
|
|
n/a
|
|
|
n/a
|
|
|
16,685
|
|
||||
Valuation allowance as a percentage of carrying value
|
4.82
|
%
|
|
n/a
|
|
|
n/a
|
|
|
4.82
|
%
|
||||
Total
|
|
|
|
|
|
|
|
|
|
|
|||||
Allowance for loan and lease losses
|
$
|
3,914
|
|
|
$
|
3,471
|
|
|
$
|
4,849
|
|
|
$
|
12,234
|
|
Carrying value
(3, 4)
|
263,859
|
|
|
190,439
|
|
|
435,747
|
|
|
890,045
|
|
||||
Allowance as a percentage of carrying value
(4)
|
1.48
|
%
|
|
1.82
|
%
|
|
1.11
|
%
|
|
1.37
|
%
|
(1)
|
Impaired loans include nonperforming commercial loans and all TDRs, including both commercial and consumer TDRs. Impaired loans exclude nonperforming consumer loans unless they are TDRs, and all consumer and commercial loans accounted for under the fair value option.
|
(2)
|
Allowance for loan and lease losses includes
$27 million
and
$35 million
related to impaired U.S. small business commercial at
December 31, 2016 and 2015
.
|
(3)
|
Amounts are presented gross of the allowance for loan and lease losses.
|
(4)
|
Outstanding loan and lease balances and ratios do not include loans accounted for under the fair value option of
$7.1 billion
and
$6.9 billion
at
December 31, 2016 and 2015
.
|
(5)
|
Represents allowance for loan and lease losses and loans related to the non-U.S. credit card portfolio, which is included in assets of business held for sale on the Consolidated Balance Sheet at December 31, 2016.
|
(6)
|
Includes
$61 million
of allowance for loan and lease losses related to impaired loans and TDRs and $
182 million
related to loans collectively evaluated for impairment.
|
158
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
First-lien Mortgage Securitizations
|
|
|
|
|
|
|
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Residential Mortgage
|
|
|
|
|||||||||||||||||||||||||
|
Agency
|
|
Non-agency - Subprime
|
|
Commercial Mortgage
|
||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
2015
|
2014
|
|
2016
|
2015
|
2014
|
|
2016
|
2015
|
2014
|
||||||||||||||||||
Cash proceeds from new securitizations
(1)
|
$
|
24,201
|
|
$
|
27,164
|
|
$
|
36,905
|
|
|
$
|
—
|
|
$
|
—
|
|
$
|
809
|
|
|
$
|
3,887
|
|
$
|
7,945
|
|
$
|
5,710
|
|
Gain on securitizations
(2)
|
370
|
|
894
|
|
371
|
|
|
—
|
|
—
|
|
49
|
|
|
38
|
|
49
|
|
68
|
|
|||||||||
Repurchases from securitization trusts
(3)
|
3,611
|
|
3,716
|
|
5,155
|
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
(1)
|
The Corporation transfers residential mortgage loans to securitizations sponsored by the GSEs or GNMA in the normal course of business and receives RMBS in exchange which may then be sold into the market to third-party investors for cash proceeds.
|
(2)
|
A majority of the first-lien residential and commercial mortgage loans securitized are initially classified as LHFS and accounted for under the fair value option. Gains recognized on these LHFS prior to securitization, which totaled
$487 million
,
$750 million
and
$715 million
net of hedges, during
2016
,
2015
and
2014
, respectively are not included in the table above.
|
(3)
|
The Corporation may have the option to repurchase delinquent loans out of securitization trusts, which reduces the amount of servicing advances it is required to make. The Corporation may also repurchase loans from securitization trusts to perform modifications. The majority of repurchased loans are FHA-insured mortgages collateralizing GNMA securities.
|
|
|
Bank of America 2016
159
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
First-lien Mortgage VIEs
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
|
Residential Mortgage
|
|
|
|
|
|
||||||||||||||||||||||||||||
|
|
|
|
|
|
Non-agency
|
|
|
|
|
|
|||||||||||||||||||||||
|
Agency
|
|
Prime
|
|
Subprime
|
|
Alt-A
|
|
Commercial Mortgage
|
|||||||||||||||||||||||||
|
December 31
|
|||||||||||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
||||||||||||||||||||
Unconsolidated VIEs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Maximum loss exposure
(1)
|
$
|
22,661
|
|
$
|
28,192
|
|
|
$
|
757
|
|
$
|
1,027
|
|
|
$
|
2,750
|
|
$
|
2,905
|
|
|
$
|
560
|
|
$
|
622
|
|
|
$
|
344
|
|
$
|
326
|
|
On-balance sheet assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Senior securities held
(2)
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Trading account assets
|
$
|
1,399
|
|
$
|
1,297
|
|
|
$
|
20
|
|
$
|
42
|
|
|
$
|
112
|
|
$
|
94
|
|
|
$
|
118
|
|
$
|
99
|
|
|
$
|
51
|
|
$
|
59
|
|
Debt securities carried at fair value
|
17,620
|
|
24,369
|
|
|
441
|
|
613
|
|
|
2,235
|
|
2,479
|
|
|
305
|
|
340
|
|
|
—
|
|
—
|
|
||||||||||
Held-to-maturity securities
|
3,630
|
|
2,511
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
64
|
|
37
|
|
||||||||||
Subordinate securities held
(2)
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Trading account assets
|
—
|
|
—
|
|
|
1
|
|
1
|
|
|
23
|
|
37
|
|
|
1
|
|
2
|
|
|
14
|
|
22
|
|
||||||||||
Debt securities carried at fair value
|
—
|
|
—
|
|
|
8
|
|
12
|
|
|
2
|
|
3
|
|
|
23
|
|
28
|
|
|
54
|
|
54
|
|
||||||||||
Held-to-maturity securities
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
13
|
|
13
|
|
||||||||||
Residual interests held
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
25
|
|
48
|
|
||||||||||
All other assets
(3)
|
12
|
|
15
|
|
|
28
|
|
40
|
|
|
—
|
|
—
|
|
|
113
|
|
153
|
|
|
—
|
|
—
|
|
||||||||||
Total retained positions
|
$
|
22,661
|
|
$
|
28,192
|
|
|
$
|
498
|
|
$
|
708
|
|
|
$
|
2,372
|
|
$
|
2,613
|
|
|
$
|
560
|
|
$
|
622
|
|
|
$
|
221
|
|
$
|
233
|
|
Principal balance outstanding
(4)
|
$
|
265,332
|
|
$
|
313,613
|
|
|
$
|
16,280
|
|
$
|
20,366
|
|
|
$
|
19,373
|
|
$
|
27,854
|
|
|
$
|
35,788
|
|
$
|
44,055
|
|
|
$
|
23,826
|
|
$
|
34,243
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Consolidated VIEs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Maximum loss exposure
(1)
|
$
|
18,084
|
|
$
|
26,878
|
|
|
$
|
—
|
|
$
|
65
|
|
|
$
|
—
|
|
$
|
232
|
|
|
$
|
25
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
On-balance sheet assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Trading account assets
|
$
|
434
|
|
$
|
1,101
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
188
|
|
|
$
|
99
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
Loans and leases
|
17,223
|
|
25,328
|
|
|
—
|
|
111
|
|
|
—
|
|
675
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
All other assets
|
427
|
|
449
|
|
|
—
|
|
—
|
|
|
—
|
|
54
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
Total assets
|
$
|
18,084
|
|
$
|
26,878
|
|
|
$
|
—
|
|
$
|
111
|
|
|
$
|
—
|
|
$
|
917
|
|
|
$
|
99
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
On-balance sheet liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Long-term debt
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
46
|
|
|
$
|
—
|
|
$
|
840
|
|
|
$
|
74
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
All other liabilities
|
4
|
|
1
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
Total liabilities
|
$
|
4
|
|
$
|
1
|
|
|
$
|
—
|
|
$
|
46
|
|
|
$
|
—
|
|
$
|
840
|
|
|
$
|
74
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
(1)
|
Maximum loss exposure includes obligations under loss-sharing reinsurance and other arrangements for non-agency residential mortgage and commercial mortgage securitizations, but excludes the liability for representations and warranties obligations and corporate guarantees and also excludes servicing advances and other servicing rights and obligations. For additional information, see
Note 7 – Representations and Warranties Obligations and Corporate Guarantees
and
Note 23 – Mortgage Servicing Rights
.
|
(2)
|
As a holder of these securities, the Corporation receives scheduled principal and interest payments. During
2016
and
2015
, the Corporation recognized
$7 million
and
$34 million
of credit-related impairment losses in earnings on those securities classified as AFS debt securities and
none
on HTM securities.
|
(3)
|
Not included in the table above are all other assets of
$189 million
and
$222 million
, representing the unpaid principal balance of mortgage loans eligible for repurchase from unconsolidated residential mortgage securitization vehicles, principally guaranteed by GNMA, and all other liabilities of
$189 million
and
$222 million
, representing the principal amount that would be payable to the securitization vehicles if the Corporation was to exercise the repurchase option, at
December 31, 2016
and
2015
.
|
(4)
|
Principal balance outstanding includes loans the Corporation transferred with which it has continuing involvement, which may include servicing the loans.
|
160
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Home Equity Loan, Credit Card and Other Asset-backed VIEs
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
|
Home Equity Loan
(1)
|
|
Credit Card
(2, 3)
|
|
Resecuritization Trusts
|
|
Municipal Bond Trusts
|
|
Automobile and Other Securitization Trusts
|
|||||||||||||||||||||||||
|
December 31
|
|||||||||||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
|
2016
|
2015
|
||||||||||||||||||||
Unconsolidated VIEs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Maximum loss exposure
|
$
|
2,732
|
|
$
|
3,988
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
9,906
|
|
$
|
13,046
|
|
|
$
|
1,635
|
|
$
|
1,572
|
|
|
$
|
47
|
|
$
|
63
|
|
On-balance sheet assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Senior securities held
(4, 5)
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Trading account assets
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
902
|
|
$
|
1,248
|
|
|
$
|
—
|
|
$
|
2
|
|
|
$
|
—
|
|
$
|
—
|
|
Debt securities carried at fair value
|
46
|
|
57
|
|
|
—
|
|
—
|
|
|
2,338
|
|
4,341
|
|
|
—
|
|
—
|
|
|
47
|
|
53
|
|
||||||||||
Held-to-maturity securities
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
6,569
|
|
7,370
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
Subordinate securities held
(4, 5)
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Trading account assets
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
27
|
|
17
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
Debt securities carried at fair value
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
70
|
|
70
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
All other assets
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
10
|
|
||||||||||
Total retained positions
|
$
|
46
|
|
$
|
57
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
9,906
|
|
$
|
13,046
|
|
|
$
|
—
|
|
$
|
2
|
|
|
$
|
47
|
|
$
|
63
|
|
Total assets of VIEs
(6)
|
$
|
4,274
|
|
$
|
5,883
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
22,155
|
|
$
|
35,362
|
|
|
$
|
2,406
|
|
$
|
2,518
|
|
|
$
|
174
|
|
$
|
314
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Consolidated VIEs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Maximum loss exposure
|
$
|
149
|
|
$
|
231
|
|
|
$
|
25,859
|
|
$
|
32,678
|
|
|
$
|
420
|
|
$
|
354
|
|
|
$
|
1,442
|
|
$
|
1,973
|
|
|
$
|
—
|
|
$
|
—
|
|
On-balance sheet assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Trading account assets
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
1,428
|
|
$
|
771
|
|
|
$
|
1,454
|
|
$
|
1,984
|
|
|
$
|
—
|
|
$
|
—
|
|
Loans and leases
|
244
|
|
321
|
|
|
35,135
|
|
43,194
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
Allowance for loan and lease losses
|
(16
|
)
|
(18
|
)
|
|
(1,007
|
)
|
(1,293
|
)
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
All other assets
|
7
|
|
20
|
|
|
793
|
|
342
|
|
|
—
|
|
—
|
|
|
—
|
|
1
|
|
|
—
|
|
—
|
|
||||||||||
Total assets
|
$
|
235
|
|
$
|
323
|
|
|
$
|
34,921
|
|
$
|
42,243
|
|
|
$
|
1,428
|
|
$
|
771
|
|
|
$
|
1,454
|
|
$
|
1,985
|
|
|
$
|
—
|
|
$
|
—
|
|
On-balance sheet liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Short-term borrowings
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
348
|
|
$
|
681
|
|
|
$
|
—
|
|
$
|
—
|
|
Long-term debt
|
108
|
|
183
|
|
|
9,049
|
|
9,550
|
|
|
1,008
|
|
417
|
|
|
12
|
|
12
|
|
|
—
|
|
—
|
|
||||||||||
All other liabilities
|
—
|
|
—
|
|
|
13
|
|
15
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||||||
Total liabilities
|
$
|
108
|
|
$
|
183
|
|
|
$
|
9,062
|
|
$
|
9,565
|
|
|
$
|
1,008
|
|
$
|
417
|
|
|
$
|
360
|
|
$
|
693
|
|
|
$
|
—
|
|
$
|
—
|
|
(1)
|
For unconsolidated home equity loan VIEs, the maximum loss exposure includes outstanding trust certificates issued by trusts in rapid amortization, net of recorded reserves. For both consolidated and unconsolidated home equity loan VIEs, the maximum loss exposure excludes the liability for representations and warranties obligations and corporate guarantees. For additional information, see
Note 7 – Representations and Warranties Obligations and Corporate Guarantees
.
|
(2)
|
At
December 31, 2016
and
2015
, loans and leases in the consolidated credit card trust included
$17.6 billion
and
$24.7 billion
of seller’s interest.
|
(3)
|
At
December 31, 2016
and
2015
, all other assets in the consolidated credit card trust included restricted cash, certain short-term investments, and unbilled accrued interest and fees.
|
(4)
|
As a holder of these securities, the Corporation receives scheduled principal and interest payments. During
2016
and
2015
, the Corporation recognized
$2 million
and
$5 million
of credit-related impairment losses in earnings on those securities classified as AFS debt securities and
none
on HTM securities.
|
(5)
|
The retained senior and subordinate securities were valued using quoted market prices or observable market inputs (Level 2 of the fair value hierarchy).
|
(6)
|
Total assets include loans the Corporation transferred with which the Corporation has continuing involvement, which may include servicing the loan.
|
|
|
Bank of America 2016
161
|
162
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Other VIEs
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
December 31
|
||||||||||||||||||||||
|
2016
|
|
2015
|
||||||||||||||||||||
(Dollars in millions)
|
Consolidated
|
|
Unconsolidated
|
|
Total
|
|
Consolidated
|
|
Unconsolidated
|
|
Total
|
||||||||||||
Maximum loss exposure
|
$
|
6,114
|
|
|
$
|
17,707
|
|
|
$
|
23,821
|
|
|
$
|
6,295
|
|
|
$
|
12,916
|
|
|
$
|
19,211
|
|
On-balance sheet assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Trading account assets
|
$
|
2,358
|
|
|
$
|
233
|
|
|
$
|
2,591
|
|
|
$
|
2,300
|
|
|
$
|
366
|
|
|
$
|
2,666
|
|
Debt securities carried at fair value
|
—
|
|
|
75
|
|
|
75
|
|
|
—
|
|
|
126
|
|
|
126
|
|
||||||
Loans and leases
|
3,399
|
|
|
3,249
|
|
|
6,648
|
|
|
3,317
|
|
|
3,389
|
|
|
6,706
|
|
||||||
Allowance for loan and lease losses
|
(9
|
)
|
|
(24
|
)
|
|
(33
|
)
|
|
(9
|
)
|
|
(23
|
)
|
|
(32
|
)
|
||||||
Loans held-for-sale
|
188
|
|
|
464
|
|
|
652
|
|
|
284
|
|
|
1,025
|
|
|
1,309
|
|
||||||
All other assets
|
369
|
|
|
13,156
|
|
|
13,525
|
|
|
664
|
|
|
6,925
|
|
|
7,589
|
|
||||||
Total
|
$
|
6,305
|
|
|
$
|
17,153
|
|
|
$
|
23,458
|
|
|
$
|
6,556
|
|
|
$
|
11,808
|
|
|
$
|
18,364
|
|
On-balance sheet liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Long-term debt
(1)
|
$
|
395
|
|
|
$
|
—
|
|
|
$
|
395
|
|
|
$
|
3,025
|
|
|
$
|
—
|
|
|
$
|
3,025
|
|
All other liabilities
|
24
|
|
|
2,959
|
|
|
2,983
|
|
|
5
|
|
|
2,697
|
|
|
2,702
|
|
||||||
Total
|
$
|
419
|
|
|
$
|
2,959
|
|
|
$
|
3,378
|
|
|
$
|
3,030
|
|
|
$
|
2,697
|
|
|
$
|
5,727
|
|
Total assets of VIEs
|
$
|
6,305
|
|
|
$
|
62,095
|
|
|
$
|
68,400
|
|
|
$
|
6,556
|
|
|
$
|
49,190
|
|
|
$
|
55,746
|
|
(1)
|
Includes
$229 million
and
$2.8 billion
of long-term debt at
December 31, 2016
and
2015
issued by other consolidated VIEs, which has recourse to the general credit of the Corporation.
|
|
|
Bank of America 2016
163
|
164
Bank of America 2016
|
|
|
(1)
|
Includes
$11.9 billion
of claims based on individual file reviews and
$4.8 billion
of claims submitted without individual file reviews at both
December 31, 2016 and 2015
.
|
|
|
Bank of America 2016
165
|
|
|
|
|
||||
Representations and Warranties and Corporate Guarantees
|
|||||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Liability for representations and warranties and corporate guarantees, January 1
|
$
|
11,326
|
|
|
$
|
12,081
|
|
Additions for new sales
|
4
|
|
|
6
|
|
||
Payments
|
(9,097
|
)
|
|
(722
|
)
|
||
Provision (benefit)
|
106
|
|
|
(39
|
)
|
||
Liability for representations and warranties and corporate guarantees, December 31
(1)
|
$
|
2,339
|
|
|
$
|
11,326
|
|
(1)
|
In February 2016, the Corporation made an
$8.5 billion
settlement payment to BNY Mellon as part of the settlement with BNY Mellon.
|
166
Bank of America 2016
|
|
|
|
|
|
|
||||
Goodwill
|
|
|
|
||||
|
|
|
|
||||
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Consumer Banking
|
$
|
30,123
|
|
|
$
|
30,123
|
|
Global Wealth & Investment Management
|
9,681
|
|
|
9,698
|
|
||
Global Banking
|
23,923
|
|
|
23,923
|
|
||
Global Markets
|
5,197
|
|
|
5,197
|
|
||
All Other
|
820
|
|
|
820
|
|
||
Less: Goodwill of business held for sale
(1)
|
(775
|
)
|
|
—
|
|
||
Total goodwill
|
$
|
68,969
|
|
|
$
|
69,761
|
|
(1)
|
Reflects the goodwill assigned to the non-U.S. consumer credit card business, which is included in assets of business held for sale on the Consolidated Balance Sheet.
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Intangible Assets
(1, 2)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
December 31
|
||||||||||||||||||||||
|
2016
|
|
2015
|
||||||||||||||||||||
(Dollars in millions)
|
Gross
Carrying Value
|
|
Accumulated
Amortization
|
|
Net
Carrying Value |
|
Gross
Carrying Value
|
|
Accumulated
Amortization
|
|
Net
Carrying Value |
||||||||||||
Purchased credit card and affinity relationships
|
$
|
6,830
|
|
|
$
|
6,243
|
|
|
$
|
587
|
|
|
$
|
7,006
|
|
|
$
|
6,111
|
|
|
$
|
895
|
|
Core deposit and other intangibles
(3)
|
3,836
|
|
|
2,046
|
|
|
1,790
|
|
|
3,922
|
|
|
1,986
|
|
|
1,936
|
|
||||||
Customer relationships
|
3,887
|
|
|
3,275
|
|
|
612
|
|
|
3,927
|
|
|
2,990
|
|
|
937
|
|
||||||
Total intangible assets
(4)
|
$
|
14,553
|
|
|
$
|
11,564
|
|
|
$
|
2,989
|
|
|
$
|
14,855
|
|
|
$
|
11,087
|
|
|
$
|
3,768
|
|
(1)
|
Excludes fully amortized intangible assets.
|
(2)
|
At
December 31, 2016 and 2015
, none of the intangible assets were impaired.
|
(3)
|
Includes
$1.6 billion
at both
December 31, 2016 and 2015
of intangible assets associated with trade names that have an indefinite life and, accordingly, are not amortized.
|
(4)
|
Includes
$67 million
of intangible assets assigned to the non-U.S. consumer credit card business, which is included in assets of business held for sale on the Consolidated Balance Sheet.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank of America 2016
167
|
|
|
|
|
|
|
|
|
||||||||
Time Deposits of $100 Thousand or More
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
(Dollars in millions)
|
Three Months
or Less
|
|
Over Three
Months to
Twelve Months
|
|
Thereafter
|
|
Total
|
||||||||
U.S. certificates of deposit and other time deposits
|
$
|
16,112
|
|
|
$
|
14,580
|
|
|
$
|
2,206
|
|
|
$
|
32,898
|
|
Non-U.S. certificates of deposit and other time deposits
|
8,688
|
|
|
2,746
|
|
|
3,243
|
|
|
14,677
|
|
|
|
|
|
|
|
||||||
Contractual Maturities of Total Time Deposits
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
U.S.
|
|
Non-U.S.
|
|
Total
|
||||||
Due in 2017
|
$
|
53,584
|
|
|
$
|
11,528
|
|
|
$
|
65,112
|
|
Due in 2018
|
3,081
|
|
|
1,702
|
|
|
4,783
|
|
|||
Due in 2019
|
1,131
|
|
|
47
|
|
|
1,178
|
|
|||
Due in 2020
|
1,475
|
|
|
250
|
|
|
1,725
|
|
|||
Due in 2021
|
406
|
|
|
1,238
|
|
|
1,644
|
|
|||
Thereafter
|
483
|
|
|
19
|
|
|
502
|
|
|||
Total time deposits
|
$
|
60,160
|
|
|
$
|
14,784
|
|
|
$
|
74,944
|
|
|
|
|
|
|
|
|
|
||||||
|
2016
|
|
2015
|
||||||||||
(Dollars in millions)
|
Amount
|
|
Rate
|
|
Amount
|
|
Rate
|
||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
|
|
|
|
|
|
|
|
|
|
|
||
Average during year
|
$
|
216,161
|
|
|
0.52
|
%
|
|
$
|
211,471
|
|
|
0.47
|
%
|
Maximum month-end balance during year
|
225,015
|
|
|
n/a
|
|
|
226,502
|
|
|
n/a
|
|
||
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
|
|
|
|
|
|
|
|
|
|
|
||
Average during year
|
$
|
183,818
|
|
|
0.97
|
%
|
|
$
|
213,497
|
|
|
0.89
|
%
|
Maximum month-end balance during year
|
196,631
|
|
|
n/a
|
|
|
235,232
|
|
|
n/a
|
|
||
Short-term borrowings
|
|
|
|
|
|
|
|
|
|
|
|
||
Average during year
|
29,440
|
|
|
1.95
|
|
|
32,798
|
|
|
1.49
|
|
||
Maximum month-end balance during year
|
33,051
|
|
|
n/a
|
|
|
40,110
|
|
|
n/a
|
|
168
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Securities Financing Agreements
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2016
|
||||||||||||||||||
(Dollars in millions)
|
Gross Assets/Liabilities
|
|
Amounts Offset
|
|
Net Balance Sheet Amount
|
|
Financial Instruments
|
|
Net Assets/Liabilities
|
||||||||||
Securities borrowed or purchased under agreements to resell
(1)
|
$
|
326,970
|
|
|
$
|
(128,746
|
)
|
|
$
|
198,224
|
|
|
$
|
(154,974
|
)
|
|
$
|
43,250
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Securities loaned or sold under agreements to repurchase
|
$
|
299,028
|
|
|
$
|
(128,746
|
)
|
|
$
|
170,282
|
|
|
$
|
(140,774
|
)
|
|
$
|
29,508
|
|
Other
|
14,448
|
|
|
—
|
|
|
14,448
|
|
|
(14,448
|
)
|
|
—
|
|
|||||
Total
|
$
|
313,476
|
|
|
$
|
(128,746
|
)
|
|
$
|
184,730
|
|
|
$
|
(155,222
|
)
|
|
$
|
29,508
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2015
|
||||||||||||||||||
Securities borrowed or purchased under agreements to resell
(1)
|
$
|
347,281
|
|
|
$
|
(154,799
|
)
|
|
$
|
192,482
|
|
|
$
|
(144,332
|
)
|
|
$
|
48,150
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Securities loaned or sold under agreements to repurchase
|
$
|
329,078
|
|
|
$
|
(154,799
|
)
|
|
$
|
174,279
|
|
|
$
|
(135,737
|
)
|
|
$
|
38,542
|
|
Other
|
13,235
|
|
|
—
|
|
|
13,235
|
|
|
(13,235
|
)
|
|
—
|
|
|||||
Total
|
$
|
342,313
|
|
|
$
|
(154,799
|
)
|
|
$
|
187,514
|
|
|
$
|
(148,972
|
)
|
|
$
|
38,542
|
|
(1)
|
Excludes repurchase activity of
$10.1 billion
and
$9.3 billion
reported in loans and leases on the Consolidated Balance Sheet at
December 31, 2016 and 2015
.
|
|
|
Bank of America 2016
169
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Remaining Contractual Maturity
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2016
|
||||||||||||||||||
(Dollars in millions)
|
Overnight and Continuous
|
|
30 Days or Less
|
|
After 30 Days Through 90 Days
|
|
Greater than 90 Days
(1)
|
|
Total
|
||||||||||
Securities sold under agreements to repurchase
|
$
|
129,853
|
|
|
$
|
77,780
|
|
|
$
|
31,851
|
|
|
$
|
40,752
|
|
|
$
|
280,236
|
|
Securities loaned
|
8,564
|
|
|
6,602
|
|
|
1,473
|
|
|
2,153
|
|
|
18,792
|
|
|||||
Other
|
14,448
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14,448
|
|
|||||
Total
|
$
|
152,865
|
|
|
$
|
84,382
|
|
|
$
|
33,324
|
|
|
$
|
42,905
|
|
|
$
|
313,476
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2015
|
||||||||||||||||||
Securities sold under agreements to repurchase
|
$
|
126,694
|
|
|
$
|
86,879
|
|
|
$
|
43,216
|
|
|
$
|
27,514
|
|
|
$
|
284,303
|
|
Securities loaned
|
39,772
|
|
|
363
|
|
|
2,352
|
|
|
2,288
|
|
|
44,775
|
|
|||||
Other
|
13,235
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,235
|
|
|||||
Total
|
$
|
179,701
|
|
|
$
|
87,242
|
|
|
$
|
45,568
|
|
|
$
|
29,802
|
|
|
$
|
342,313
|
|
(1)
|
No agreements have maturities greater than
three years
.
|
|
|
|
|
|
|
|
|
||||||||
Class of Collateral Pledged
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2016
|
||||||||||||||
(Dollars in millions)
|
Securities Sold Under Agreements to Repurchase
|
|
Securities Loaned
|
|
Other
|
|
Total
|
||||||||
U.S. government and agency securities
|
$
|
153,184
|
|
|
$
|
—
|
|
|
$
|
70
|
|
|
$
|
153,254
|
|
Corporate securities, trading loans and other
|
11,086
|
|
|
1,630
|
|
|
127
|
|
|
12,843
|
|
||||
Equity securities
|
24,007
|
|
|
11,175
|
|
|
14,196
|
|
|
49,378
|
|
||||
Non-U.S. sovereign debt
|
84,171
|
|
|
5,987
|
|
|
55
|
|
|
90,213
|
|
||||
Mortgage trading loans and ABS
|
7,788
|
|
|
—
|
|
|
—
|
|
|
7,788
|
|
||||
Total
|
$
|
280,236
|
|
|
$
|
18,792
|
|
|
$
|
14,448
|
|
|
$
|
313,476
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2015
|
||||||||||||||
U.S. government and agency securities
|
$
|
142,572
|
|
|
$
|
—
|
|
|
$
|
27
|
|
|
$
|
142,599
|
|
Corporate securities, trading loans and other
|
11,767
|
|
|
265
|
|
|
278
|
|
|
12,310
|
|
||||
Equity securities
|
32,323
|
|
|
13,350
|
|
|
12,929
|
|
|
58,602
|
|
||||
Non-U.S. sovereign debt
|
87,849
|
|
|
31,160
|
|
|
1
|
|
|
119,010
|
|
||||
Mortgage trading loans and ABS
|
9,792
|
|
|
—
|
|
|
—
|
|
|
9,792
|
|
||||
Total
|
$
|
284,303
|
|
|
$
|
44,775
|
|
|
$
|
13,235
|
|
|
$
|
342,313
|
|
170
Bank of America 2016
|
|
|
|
|
|
|
||||
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Notes issued by Bank of America Corporation
|
|
|
|
|
|
||
Senior notes:
|
|
|
|
|
|
||
Fixed, with a weighted-average rate of 4.25%, ranging from 0.39% to 8.40%, due 2017 to 2046
|
$
|
108,933
|
|
|
$
|
109,861
|
|
Floating, with a weighted-average rate of 1.73%, ranging from 0.19% to 5.64%, due 2017 to 2044
|
13,164
|
|
|
13,900
|
|
||
Senior structured notes
|
17,049
|
|
|
17,548
|
|
||
Subordinated notes:
|
|
|
|
|
|
||
Fixed, with a weighted-average rate of 4.87%, ranging from 2.40% to 8.57%, due 2017 to 2045
|
26,047
|
|
|
27,216
|
|
||
Floating, with a weighted-average rate of 0.83%, ranging from 0.23% to 2.52%, due 2017 to 2026
|
4,350
|
|
|
5,029
|
|
||
Junior subordinated notes (related to trust preferred securities):
|
|
|
|
|
|
||
Fixed, with a weighted-average rate of 6.91%, ranging from 5.25% to 8.05%, due 2027 to 2067
|
3,280
|
|
|
5,295
|
|
||
Floating, with a weighted-average rate of 1.60%, ranging from 1.43% to 1.99%, due 2027 to 2056
|
552
|
|
|
553
|
|
||
Total notes issued by Bank of America Corporation
|
173,375
|
|
|
179,402
|
|
||
Notes issued by Bank of America, N.A.
|
|
|
|
|
|
||
Senior notes:
|
|
|
|
|
|
||
Fixed, with a weighted-average rate of 1.67%, ranging from 0.02% to 2.05%, due 2017 to 2018
|
5,936
|
|
|
7,483
|
|
||
Floating, with a weighted-average rate of 1.66%, ranging from 0.94% to 2.86%, due 2017 to 2041
|
3,383
|
|
|
4,942
|
|
||
Subordinated notes:
|
|
|
|
|
|
||
Fixed, with a weighted-average rate of 5.66%, ranging from 5.30% to 6.10%, due 2017 to 2036
|
4,424
|
|
|
4,815
|
|
||
Floating, with a weighted-average rate of 1.26%, ranging from 0.85% to 1.26%, due 2017 to 2019
|
598
|
|
|
1,401
|
|
||
Advances from Federal Home Loan Banks:
|
|
|
|
||||
Fixed, with a weighted-average rate of 5.31%, ranging from 0.01% to 7.72%, due 2017 to 2034
|
162
|
|
|
172
|
|
||
Floating
|
—
|
|
|
6,000
|
|
||
Securitizations and other BANA VIEs
(1)
|
9,164
|
|
|
9,756
|
|
||
Other
|
3,084
|
|
|
2,985
|
|
||
Total notes issued by Bank of America, N.A.
|
26,751
|
|
|
37,554
|
|
||
Other debt
|
|
|
|
|
|
||
Senior notes:
|
|
|
|
||||
Fixed, with a weighted-average rate of 5.50%, due 2017 to 2021
|
1
|
|
|
30
|
|
||
Structured liabilities
|
15,171
|
|
|
14,974
|
|
||
Nonbank VIEs
(1)
|
1,482
|
|
|
4,317
|
|
||
Other
|
43
|
|
|
487
|
|
||
Total other debt
|
16,697
|
|
|
19,808
|
|
||
Total long-term debt
|
$
|
216,823
|
|
|
$
|
236,764
|
|
(1)
|
Represents the total long-term debt included in the liabilities of consolidated VIEs on the Consolidated Balance Sheet.
|
|
|
Bank of America 2016
171
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Long-term Debt by Maturity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
(Dollars in millions)
|
2017
|
|
2018
|
|
2019
|
|
2020
|
|
2021
|
|
Thereafter
|
|
Total
|
||||||||||||||
Bank of America Corporation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Senior notes
|
$
|
17,913
|
|
|
$
|
19,765
|
|
|
$
|
17,858
|
|
|
$
|
12,168
|
|
|
$
|
10,382
|
|
|
$
|
44,011
|
|
|
$
|
122,097
|
|
Senior structured notes
|
3,931
|
|
|
3,137
|
|
|
1,341
|
|
|
969
|
|
|
409
|
|
|
7,262
|
|
|
17,049
|
|
|||||||
Subordinated notes
|
4,760
|
|
|
2,603
|
|
|
1,431
|
|
|
—
|
|
|
349
|
|
|
21,254
|
|
|
30,397
|
|
|||||||
Junior subordinated notes
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,832
|
|
|
3,832
|
|
|||||||
Total Bank of America Corporation
|
26,604
|
|
|
25,505
|
|
|
20,630
|
|
|
13,137
|
|
|
11,140
|
|
|
76,359
|
|
|
173,375
|
|
|||||||
Bank of America, N.A.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Senior notes
|
3,649
|
|
|
5,649
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
21
|
|
|
9,319
|
|
|||||||
Subordinated notes
|
3,328
|
|
|
—
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
1,693
|
|
|
5,022
|
|
|||||||
Advances from Federal Home Loan Banks
|
9
|
|
|
9
|
|
|
14
|
|
|
12
|
|
|
2
|
|
|
116
|
|
|
162
|
|
|||||||
Securitizations and other Bank VIEs
(1)
|
3,549
|
|
|
2,300
|
|
|
3,200
|
|
|
—
|
|
|
—
|
|
|
115
|
|
|
9,164
|
|
|||||||
Other
|
2,718
|
|
|
102
|
|
|
105
|
|
|
10
|
|
|
—
|
|
|
149
|
|
|
3,084
|
|
|||||||
Total Bank of America, N.A.
|
13,253
|
|
|
8,060
|
|
|
3,320
|
|
|
22
|
|
|
2
|
|
|
2,094
|
|
|
26,751
|
|
|||||||
Other debt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Senior notes
|
1
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|||||||
Structured liabilities
|
3,860
|
|
|
1,288
|
|
|
1,261
|
|
|
977
|
|
|
756
|
|
|
7,029
|
|
|
15,171
|
|
|||||||
Nonbank VIEs
(1)
|
246
|
|
|
27
|
|
|
15
|
|
|
—
|
|
|
—
|
|
|
1,194
|
|
|
1,482
|
|
|||||||
Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
43
|
|
|
43
|
|
|||||||
Total other debt
|
4,107
|
|
|
1,315
|
|
|
1,276
|
|
|
977
|
|
|
756
|
|
|
8,266
|
|
|
16,697
|
|
|||||||
Total long-term debt
|
$
|
43,964
|
|
|
$
|
34,880
|
|
|
$
|
25,226
|
|
|
$
|
14,136
|
|
|
$
|
11,898
|
|
|
$
|
86,719
|
|
|
$
|
216,823
|
|
(1)
|
Represents the total long-term debt included in the liabilities of consolidated VIEs on the Consolidated Balance Sheet.
|
172
Bank of America 2016
|
|
|
(1)
|
Bank of America Capital Trust VIII, Countrywide Capital IV and Merrill Lynch Capital Trust II were redeemed during 2016.
|
(2)
|
Notes are denominated in British Pound. Presentation currency is U.S. Dollar.
|
|
|
Bank of America 2016
173
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Credit Extension Commitments
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2016
|
||||||||||||||||||
(Dollars in millions)
|
Expire in One
Year or Less |
|
Expire After One
Year Through Three Years |
|
Expire After Three
Years Through Five Years |
|
Expire After Five
Years |
|
Total
|
||||||||||
Notional amount of credit extension commitments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Loan commitments
|
$
|
82,609
|
|
|
$
|
133,063
|
|
|
$
|
152,854
|
|
|
$
|
22,129
|
|
|
$
|
390,655
|
|
Home equity lines of credit
|
8,806
|
|
|
10,701
|
|
|
2,644
|
|
|
25,050
|
|
|
47,201
|
|
|||||
Standby letters of credit and financial guarantees
(1)
|
19,165
|
|
|
10,754
|
|
|
3,225
|
|
|
1,027
|
|
|
34,171
|
|
|||||
Letters of credit
|
1,285
|
|
|
103
|
|
|
114
|
|
|
53
|
|
|
1,555
|
|
|||||
Legally binding commitments
|
111,865
|
|
|
154,621
|
|
|
158,837
|
|
|
48,259
|
|
|
473,582
|
|
|||||
Credit card lines
(2)
|
377,773
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
377,773
|
|
|||||
Total credit extension commitments
|
$
|
489,638
|
|
|
$
|
154,621
|
|
|
$
|
158,837
|
|
|
$
|
48,259
|
|
|
$
|
851,355
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2015
|
||||||||||||||||||
Notional amount of credit extension commitments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Loan commitments
|
$
|
84,884
|
|
|
$
|
119,272
|
|
|
$
|
158,920
|
|
|
$
|
37,112
|
|
|
$
|
400,188
|
|
Home equity lines of credit
|
7,074
|
|
|
18,438
|
|
|
5,126
|
|
|
19,697
|
|
|
50,335
|
|
|||||
Standby letters of credit and financial guarantees
(1)
|
19,584
|
|
|
9,903
|
|
|
3,385
|
|
|
1,218
|
|
|
34,090
|
|
|||||
Letters of credit
|
1,650
|
|
|
165
|
|
|
258
|
|
|
54
|
|
|
2,127
|
|
|||||
Legally binding commitments
|
113,192
|
|
|
147,778
|
|
|
167,689
|
|
|
58,081
|
|
|
486,740
|
|
|||||
Credit card lines
(2)
|
370,127
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
370,127
|
|
|||||
Total credit extension commitments
|
$
|
483,319
|
|
|
$
|
147,778
|
|
|
$
|
167,689
|
|
|
$
|
58,081
|
|
|
$
|
856,867
|
|
(1)
|
The notional amounts of SBLCs and financial guarantees classified as investment grade and non-investment grade based on the credit quality of the underlying reference name within the instrument were
$25.5 billion
and
$8.3 billion
at
December 31, 2016
, and
$25.5 billion
and
$8.4 billion
at
December 31, 2015
. Amounts in the table include consumer SBLCs of
$376 million
and
$164 million
at
December 31, 2016
and
2015
.
|
(2)
|
Includes business card unused lines of credit.
|
174
Bank of America 2016
|
|
|
|
|
Bank of America 2016
175
|
176
Bank of America 2016
|
|
|
|
|
Bank of America 2016
177
|
178
Bank of America 2016
|
|
|
|
|
Bank of America 2016
179
|
|
|
|
|
|
|
|
||
Declared Quarterly Cash Dividends on Common Stock
(1)
|
||||||||
|
|
|
|
|
|
|
||
Declaration Date
|
|
Record Date
|
|
Payment Date
|
|
Dividend Per Share
|
||
|
|
|
||||||
January 26, 2017
|
|
March 3, 2017
|
|
March 31, 2017
|
|
$
|
0.075
|
|
October 27, 2016
|
|
December 2, 2016
|
|
December 30, 2016
|
|
0.075
|
|
|
July 27, 2016
|
|
September 2, 2016
|
|
September 23, 2016
|
|
0.075
|
|
|
April 27, 2016
|
|
June 3, 2016
|
|
June 24, 2016
|
|
0.05
|
|
|
January 21, 2016
|
|
March 4, 2016
|
|
March 25, 2016
|
|
0.05
|
|
(1)
|
In
2016
and through
February 23, 2017
.
|
|
|
|
|
||||||
Common Stock Repurchase Summary
|
|||||||||
|
|
|
|
||||||
(in millions)
|
2016
|
2015
|
2014
|
||||||
Total number of shares repurchased and retired
|
|
|
|
||||||
CCAR capital plan repurchases
|
278
|
|
140
|
|
101
|
|
|||
Other authorized repurchases
|
55
|
|
—
|
|
—
|
|
|||
|
|
|
|
||||||
Total purchase price of shares repurchased and retired
(1)
|
|
|
|
||||||
CCAR capital plan repurchases
|
$
|
4,312
|
|
$
|
2,374
|
|
$
|
1,675
|
|
Other authorized repurchases
|
800
|
|
—
|
|
—
|
|
(1)
|
Represents reductions to shareholders’ equity due to common stock repurchases.
|
180
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Preferred Stock Summary
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
(Dollars in millions, except as noted)
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Series
|
Description
|
|
Initial
Issuance Date |
|
Total
Shares Outstanding |
|
Liquidation
Preference per Share (in dollars) |
|
Carrying
Value (1) |
|
Per Annum
Dividend Rate |
|
Redemption Period
(2)
|
||||||
Series B
|
7% Cumulative Redeemable
|
|
June
1997 |
|
7,110
|
|
|
$
|
100
|
|
|
$
|
1
|
|
|
7.00
|
%
|
|
n/a
|
Series D
(3)
|
6.204% Non-Cumulative
|
|
September
2006 |
|
26,174
|
|
|
25,000
|
|
|
654
|
|
|
6.204
|
%
|
|
On or after
September 14, 2011 |
||
Series E
(3)
|
Floating Rate Non-Cumulative
|
|
November
2006 |
|
12,691
|
|
|
25,000
|
|
|
317
|
|
|
3-mo. LIBOR + 35 bps
(4)
|
|
|
On or after
November 15, 2011 |
||
Series F
|
Floating Rate Non-Cumulative
|
|
March
2012 |
|
1,409
|
|
|
100,000
|
|
|
141
|
|
|
3-mo. LIBOR + 40 bps
(4)
|
|
|
On or after
March 15, 2012 |
||
Series G
|
Adjustable Rate Non-Cumulative
|
|
March
2012 |
|
4,926
|
|
|
100,000
|
|
|
493
|
|
|
3-mo. LIBOR + 40 bps
(4)
|
|
|
On or after
March 15, 2012 |
||
Series I
(3)
|
6.625% Non-Cumulative
|
|
September
2007 |
|
14,584
|
|
|
25,000
|
|
|
365
|
|
|
6.625
|
%
|
|
On or after
October 1, 2017 |
||
Series K
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
January
2008 |
|
61,773
|
|
|
25,000
|
|
|
1,544
|
|
|
8.00% to, but excluding, 1/30/18;
3-mo. LIBOR + 363 bps thereafter |
|
|
On or after
January 30, 2018 |
||
Series L
|
7.25% Non-Cumulative Perpetual Convertible
|
|
January
2008 |
|
3,080,182
|
|
|
1,000
|
|
|
3,080
|
|
|
7.25
|
%
|
|
n/a
|
||
Series M
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
April
2008 |
|
52,399
|
|
|
25,000
|
|
|
1,310
|
|
|
8.125% to, but excluding, 5/15/18;
3-mo. LIBOR + 364 bps thereafter |
|
|
On or after
May 15, 2018 |
||
Series T
|
6% Non-Cumulative
|
|
September
2011 |
|
50,000
|
|
|
100,000
|
|
|
2,918
|
|
|
6.00
|
%
|
|
See below
(6)
|
||
Series U
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
May
2013 |
|
40,000
|
|
|
25,000
|
|
|
1,000
|
|
|
5.2% to, but excluding, 6/1/23;
3-mo. LIBOR + 313.5 bps thereafter |
|
|
On or after
June 1, 2023 |
||
Series V
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
June
2014 |
|
60,000
|
|
|
25,000
|
|
|
1,500
|
|
|
5.125% to, but excluding, 6/17/19;
3-mo. LIBOR + 338.7 bps thereafter |
|
|
On or after
June 17, 2019 |
||
Series W
(3)
|
6.625% Non-Cumulative
|
|
September
2014
|
|
44,000
|
|
|
25,000
|
|
|
1,100
|
|
|
6.625
|
%
|
|
On or after
September 9, 2019 |
||
Series X
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
September
2014
|
|
80,000
|
|
|
25,000
|
|
|
2,000
|
|
|
6.250% to, but excluding, 9/5/24;
3-mo. LIBOR + 370.5 bps thereafter |
|
|
On or after
September 5, 2024 |
||
Series Y
(3)
|
6.500% Non-Cumulative
|
|
January
2015
|
|
44,000
|
|
|
25,000
|
|
|
1,100
|
|
|
6.500
|
%
|
|
On or after
January 27, 2020 |
||
Series Z
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
October
2014
|
|
56,000
|
|
|
25,000
|
|
|
1,400
|
|
|
6.500% to, but excluding, 10/23/24;
3-mo. LIBOR + 417.4 bps thereafter |
|
|
On or after
October 23, 2024 |
||
Series AA
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
March
2015
|
|
76,000
|
|
|
25,000
|
|
|
1,900
|
|
|
6.100% to, but excluding, 3/17/25;
3-mo. LIBOR + 389.8 bps thereafter |
|
|
On or after
March 17, 2025 |
||
Series CC
(3)
|
6.200% Non-Cumulative
|
|
January
2016
|
|
44,000
|
|
|
25,000
|
|
|
1,100
|
|
|
6.200
|
%
|
|
On or after
January 29, 2021 |
||
Series DD
(5)
|
Fixed-to-Floating Rate Non-Cumulative
|
|
March
2016
|
|
40,000
|
|
|
25,000
|
|
|
1,000
|
|
|
6.300% to, but excluding, 3/10/26;
3-mo. LIBOR + 455.3 bps thereafter |
|
|
On or after
March 10, 2026 |
||
Series EE
(3)
|
6.000% Non-Cumulative
|
|
April
2016
|
|
36,000
|
|
|
25,000
|
|
|
900
|
|
|
6.000
|
%
|
|
On or after
April 25, 2021 |
||
Series 1
(7)
|
Floating Rate Non-Cumulative
|
|
November
2004 |
|
3,275
|
|
|
30,000
|
|
|
98
|
|
|
3-mo. LIBOR + 75 bps
(8)
|
|
|
On or after
November 28, 2009 |
||
Series 2
(7)
|
Floating Rate Non-Cumulative
|
|
March
2005 |
|
9,967
|
|
|
30,000
|
|
|
299
|
|
|
3-mo. LIBOR + 65 bps
(8)
|
|
|
On or after
November 28, 2009 |
||
Series 3
(7)
|
6.375% Non-Cumulative
|
|
November
2005 |
|
21,773
|
|
|
30,000
|
|
|
653
|
|
|
6.375
|
%
|
|
On or after
November 28, 2010 |
||
Series 4
(7)
|
Floating Rate Non-Cumulative
|
|
November
2005 |
|
7,010
|
|
|
30,000
|
|
|
210
|
|
|
3-mo. LIBOR + 75 bps
(4)
|
|
|
On or after
November 28, 2010 |
||
Series 5
(7)
|
Floating Rate Non-Cumulative
|
|
March
2007 |
|
14,056
|
|
|
30,000
|
|
|
422
|
|
|
3-mo. LIBOR + 50 bps
(4)
|
|
|
On or after
May 21, 2012 |
||
Total
|
|
|
|
|
3,887,329
|
|
|
|
|
|
$
|
25,505
|
|
|
|
|
|
|
(1)
|
Amounts shown are before third-party issuance costs and certain book value adjustments of
$285 million
.
|
(2)
|
The Corporation may redeem series of preferred stock on or after the redemption date, in whole or in part, at its option, at the liquidation preference plus declared and unpaid dividends. Series B and Series L Preferred Stock do not have early redemption/call rights.
|
(3)
|
Ownership is held in the form of depositary shares, each representing a 1/1,000th interest in a share of preferred stock, paying a quarterly cash dividend, if and when declared.
|
(4)
|
Subject to
4.00%
minimum rate per annum.
|
(5)
|
Ownership is held in the form of depositary shares, each representing a 1/25th interest in a share of preferred stock, paying a semi-annual cash dividend, if and when declared, until the first redemption date at which time, it adjusts to a quarterly cash dividend, if and when declared, thereafter.
|
(6)
|
The terms of the Series T preferred stock were amended in 2014, which included changes such that (1) dividends are no longer cumulative, (2) the dividend rate is fixed at
6%
and (3) the Corporation may redeem the Series T preferred stock only after the fifth anniversary of the amendment's effective date.
|
(7)
|
Ownership is held in the form of depositary shares, each representing a 1/1,200th interest in a share of preferred stock, paying a quarterly cash dividend, if and when declared.
|
(8)
|
Subject to
3.00%
minimum rate per annum.
|
|
|
Bank of America 2016
181
|
182
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
(Dollars in millions)
|
Debt
Securities
|
|
Available-for-
Sale Marketable
Equity Securities
|
|
Debit Valuation Adjustments
|
|
Derivatives
|
|
Employee
Benefit Plans
|
|
Foreign
Currency
|
|
Total
|
||||||||||||||
Balance, December 31, 2013
|
$
|
(2,487
|
)
|
|
$
|
(4
|
)
|
|
n/a
|
|
|
$
|
(2,277
|
)
|
|
$
|
(2,407
|
)
|
|
$
|
(512
|
)
|
|
$
|
(7,687
|
)
|
|
Net change
|
4,128
|
|
|
21
|
|
|
n/a
|
|
|
616
|
|
|
(943
|
)
|
|
(157
|
)
|
|
3,665
|
|
|||||||
Balance, December 31, 2014
|
$
|
1,641
|
|
|
$
|
17
|
|
|
n/a
|
|
|
$
|
(1,661
|
)
|
|
$
|
(3,350
|
)
|
|
$
|
(669
|
)
|
|
$
|
(4,022
|
)
|
|
Cumulative adjustment for accounting change
|
—
|
|
|
—
|
|
|
$
|
(1,226
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,226
|
)
|
||||||
Net change
|
(1,625
|
)
|
|
45
|
|
|
615
|
|
|
584
|
|
|
394
|
|
|
(123
|
)
|
|
(110
|
)
|
|||||||
Balance, December 31, 2015
|
$
|
16
|
|
|
$
|
62
|
|
|
$
|
(611
|
)
|
|
$
|
(1,077
|
)
|
|
$
|
(2,956
|
)
|
|
$
|
(792
|
)
|
|
$
|
(5,358
|
)
|
Net change
|
(1,315
|
)
|
|
(30
|
)
|
|
(156
|
)
|
|
182
|
|
|
(524
|
)
|
|
(87
|
)
|
|
(1,930
|
)
|
|||||||
Balance, December 31, 2016
|
$
|
(1,299
|
)
|
|
$
|
32
|
|
|
$
|
(767
|
)
|
|
$
|
(895
|
)
|
|
$
|
(3,480
|
)
|
|
$
|
(879
|
)
|
|
$
|
(7,288
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Changes in OCI Components Before- and After-tax
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||||||||||||||||||||||||||
(Dollars in millions)
|
Before-tax
|
|
Tax effect
|
|
After-tax
|
|
Before-tax
|
|
Tax effect
|
|
After-tax
|
|
Before-tax
|
|
Tax effect
|
|
After-tax
|
||||||||||||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net increase (decrease) in fair value
|
$
|
(1,645
|
)
|
|
$
|
622
|
|
|
$
|
(1,023
|
)
|
|
$
|
(1,564
|
)
|
|
$
|
595
|
|
|
$
|
(969
|
)
|
|
$
|
8,064
|
|
|
$
|
(3,027
|
)
|
|
$
|
5,037
|
|
Reclassifications into earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Gains on sales of debt securities
|
(490
|
)
|
|
186
|
|
|
(304
|
)
|
|
(1,138
|
)
|
|
432
|
|
|
(706
|
)
|
|
(1,481
|
)
|
|
563
|
|
|
(918
|
)
|
|||||||||
Other income
|
19
|
|
|
(7
|
)
|
|
12
|
|
|
81
|
|
|
(31
|
)
|
|
50
|
|
|
16
|
|
|
(7
|
)
|
|
9
|
|
|||||||||
Net realized (gains) losses reclassified into earnings
|
(471
|
)
|
|
179
|
|
|
(292
|
)
|
|
(1,057
|
)
|
|
401
|
|
|
(656
|
)
|
|
(1,465
|
)
|
|
556
|
|
|
(909
|
)
|
|||||||||
Net change
|
(2,116
|
)
|
|
801
|
|
|
(1,315
|
)
|
|
(2,621
|
)
|
|
996
|
|
|
(1,625
|
)
|
|
6,599
|
|
|
(2,471
|
)
|
|
4,128
|
|
|||||||||
Available-for-sale marketable equity securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net increase (decrease) in fair value
(1)
|
(49
|
)
|
|
19
|
|
|
(30
|
)
|
|
72
|
|
|
(27
|
)
|
|
45
|
|
|
34
|
|
|
(13
|
)
|
|
21
|
|
|||||||||
Net change
|
(49
|
)
|
|
19
|
|
|
(30
|
)
|
|
72
|
|
|
(27
|
)
|
|
45
|
|
|
34
|
|
|
(13
|
)
|
|
21
|
|
|||||||||
Debit valuation adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net increase (decrease) in fair value
|
(271
|
)
|
|
104
|
|
|
(167
|
)
|
|
436
|
|
|
(166
|
)
|
|
270
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|||||||||
Net realized (gains) losses reclassified into earnings
(2)
|
17
|
|
|
(6
|
)
|
|
11
|
|
|
556
|
|
|
(211
|
)
|
|
345
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|||||||||
Net change
|
(254
|
)
|
|
98
|
|
|
(156
|
)
|
|
992
|
|
|
(377
|
)
|
|
615
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|||||||||
Derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net increase (decrease) in fair value
|
(299
|
)
|
|
113
|
|
|
(186
|
)
|
|
55
|
|
|
(22
|
)
|
|
33
|
|
|
195
|
|
|
(54
|
)
|
|
141
|
|
|||||||||
Reclassifications into earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net interest income
|
553
|
|
|
(205
|
)
|
|
348
|
|
|
974
|
|
|
(367
|
)
|
|
607
|
|
|
1,119
|
|
|
(421
|
)
|
|
698
|
|
|||||||||
Personnel
|
32
|
|
|
(12
|
)
|
|
20
|
|
|
(91
|
)
|
|
35
|
|
|
(56
|
)
|
|
(359
|
)
|
|
136
|
|
|
(223
|
)
|
|||||||||
Net realized (gains) losses reclassified into earnings
|
585
|
|
|
(217
|
)
|
|
368
|
|
|
883
|
|
|
(332
|
)
|
|
551
|
|
|
760
|
|
|
(285
|
)
|
|
475
|
|
|||||||||
Net change
|
286
|
|
|
(104
|
)
|
|
182
|
|
|
938
|
|
|
(354
|
)
|
|
584
|
|
|
955
|
|
|
(339
|
)
|
|
616
|
|
|||||||||
Employee benefit plans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net increase (decrease) in fair value
|
(921
|
)
|
|
329
|
|
|
(592
|
)
|
|
408
|
|
|
(121
|
)
|
|
287
|
|
|
(1,629
|
)
|
|
614
|
|
|
(1,015
|
)
|
|||||||||
Reclassifications into earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Prior service cost
|
5
|
|
|
(2
|
)
|
|
3
|
|
|
5
|
|
|
(2
|
)
|
|
3
|
|
|
5
|
|
|
(2
|
)
|
|
3
|
|
|||||||||
Net actuarial losses
|
92
|
|
|
(34
|
)
|
|
58
|
|
|
164
|
|
|
(60
|
)
|
|
104
|
|
|
50
|
|
|
(21
|
)
|
|
29
|
|
|||||||||
Net realized (gains) losses reclassified into earnings
(3)
|
97
|
|
|
(36
|
)
|
|
61
|
|
|
169
|
|
|
(62
|
)
|
|
107
|
|
|
55
|
|
|
(23
|
)
|
|
32
|
|
|||||||||
Settlements, curtailments and other
|
15
|
|
|
(8
|
)
|
|
7
|
|
|
1
|
|
|
(1
|
)
|
|
—
|
|
|
(1
|
)
|
|
41
|
|
|
40
|
|
|||||||||
Net change
|
(809
|
)
|
|
285
|
|
|
(524
|
)
|
|
578
|
|
|
(184
|
)
|
|
394
|
|
|
(1,575
|
)
|
|
632
|
|
|
(943
|
)
|
|||||||||
Foreign currency:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net increase (decrease) in fair value
|
514
|
|
|
(601
|
)
|
|
(87
|
)
|
|
600
|
|
|
(723
|
)
|
|
(123
|
)
|
|
714
|
|
|
(879
|
)
|
|
(165
|
)
|
|||||||||
Net realized (gains) losses reclassified into earnings
(2)
|
—
|
|
|
—
|
|
|
—
|
|
|
(38
|
)
|
|
38
|
|
|
—
|
|
|
20
|
|
|
(12
|
)
|
|
8
|
|
|||||||||
Net change
|
514
|
|
|
(601
|
)
|
|
(87
|
)
|
|
562
|
|
|
(685
|
)
|
|
(123
|
)
|
|
734
|
|
|
(891
|
)
|
|
(157
|
)
|
|||||||||
Total other comprehensive income (loss)
|
$
|
(2,428
|
)
|
|
$
|
498
|
|
|
$
|
(1,930
|
)
|
|
$
|
521
|
|
|
$
|
(631
|
)
|
|
$
|
(110
|
)
|
|
$
|
6,747
|
|
|
$
|
(3,082
|
)
|
|
$
|
3,665
|
|
(1)
|
There were no amounts reclassified out of AFS marketable equity securities for
2016
,
2015
and
2014
.
|
(2)
|
Reclassifications of pretax DVA and foreign currency transactions are recorded in other income in the Consolidated Statement of Income.
|
(3)
|
Reclassifications of pretax employee benefit plan costs are recorded in personnel expense in the Consolidated Statement of Income.
|
|
|
Bank of America 2016
183
|
|
|
|
|
|
|
||||||
(Dollars in millions, except per share information; shares in thousands)
|
2016
|
|
2015
|
|
2014
|
||||||
Earnings per common share
|
|
|
|
|
|
|
|
|
|||
Net income
|
$
|
17,906
|
|
|
$
|
15,836
|
|
|
$
|
5,520
|
|
Preferred stock dividends
|
(1,682
|
)
|
|
(1,483
|
)
|
|
(1,044
|
)
|
|||
Net income applicable to common shareholders
|
$
|
16,224
|
|
|
$
|
14,353
|
|
|
$
|
4,476
|
|
Average common shares issued and outstanding
|
10,284,147
|
|
|
10,462,282
|
|
|
10,527,818
|
|
|||
Earnings per common share
|
$
|
1.58
|
|
|
$
|
1.37
|
|
|
$
|
0.43
|
|
|
|
|
|
|
|
||||||
Diluted earnings per common share
|
|
|
|
|
|
|
|
|
|||
Net income applicable to common shareholders
|
$
|
16,224
|
|
|
$
|
14,353
|
|
|
$
|
4,476
|
|
Add preferred stock dividends due to assumed conversions
|
300
|
|
|
300
|
|
|
—
|
|
|||
Net income allocated to common shareholders
|
$
|
16,524
|
|
|
$
|
14,653
|
|
|
$
|
4,476
|
|
Average common shares issued and outstanding
|
10,284,147
|
|
|
10,462,282
|
|
|
10,527,818
|
|
|||
Dilutive potential common shares
(1)
|
751,510
|
|
|
751,710
|
|
|
56,717
|
|
|||
Total diluted average common shares issued and outstanding
|
11,035,657
|
|
|
11,213,992
|
|
|
10,584,535
|
|
|||
Diluted earnings per common share
|
$
|
1.50
|
|
|
$
|
1.31
|
|
|
$
|
0.42
|
|
(1)
|
Includes incremental dilutive shares from RSUs, restricted stock and warrants.
|
184
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Regulatory Capital under Basel 3 – Transition
(1)
|
|
|
|
|
|
|
|
|
|||||||||||||
|
|
||||||||||||||||||||
|
December 31, 2016
|
||||||||||||||||||||
|
Bank of America Corporation
|
|
Bank of America, N.A.
|
||||||||||||||||||
(Dollars in millions)
|
Standardized Approach
|
|
Advanced Approaches
|
|
Regulatory Minimum
(2, 3)
|
|
Standardized Approach
|
|
Advanced Approaches
|
|
Regulatory Minimum
(4)
|
||||||||||
Risk-based capital metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Common equity tier 1 capital
|
$
|
168,866
|
|
|
$
|
168,866
|
|
|
|
|
$
|
149,755
|
|
|
$
|
149,755
|
|
|
|
||
Tier 1 capital
|
190,315
|
|
|
190,315
|
|
|
|
|
149,755
|
|
|
149,755
|
|
|
|
||||||
Total capital
(5)
|
228,187
|
|
|
218,981
|
|
|
|
|
163,471
|
|
|
154,697
|
|
|
|
||||||
Risk-weighted assets (in billions)
|
1,399
|
|
|
1,530
|
|
|
|
|
1,176
|
|
|
1,045
|
|
|
|
||||||
Common equity tier 1 capital ratio
|
12.1
|
%
|
|
11.0
|
%
|
|
5.875
|
%
|
|
12.7
|
%
|
|
14.3
|
%
|
|
6.5
|
%
|
||||
Tier 1 capital ratio
|
13.6
|
|
|
12.4
|
|
|
7.375
|
|
|
12.7
|
|
|
14.3
|
|
|
8.0
|
|
||||
Total capital ratio
|
16.3
|
|
|
14.3
|
|
|
9.375
|
|
|
13.9
|
|
|
14.8
|
|
|
10.0
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Leverage-based metrics:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted quarterly average assets (in billions)
(6)
|
$
|
2,131
|
|
|
$
|
2,131
|
|
|
|
|
$
|
1,611
|
|
|
$
|
1,611
|
|
|
|
||
Tier 1 leverage ratio
|
8.9
|
%
|
|
8.9
|
%
|
|
4.0
|
|
|
9.3
|
%
|
|
9.3
|
%
|
|
5.0
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2015
|
||||||||||||||||||||
Risk-based capital metrics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Common equity tier 1 capital
|
$
|
163,026
|
|
|
$
|
163,026
|
|
|
|
|
$
|
144,869
|
|
|
$
|
144,869
|
|
|
|
||
Tier 1 capital
|
180,778
|
|
|
180,778
|
|
|
|
|
144,869
|
|
|
144,869
|
|
|
|
||||||
Total capital
(5)
|
220,676
|
|
|
210,912
|
|
|
|
|
159,871
|
|
|
150,624
|
|
|
|
||||||
Risk-weighted assets (in billions)
|
1,403
|
|
|
1,602
|
|
|
|
|
1,183
|
|
|
1,104
|
|
|
|
||||||
Common equity tier 1 capital ratio
|
11.6
|
%
|
|
10.2
|
%
|
|
4.5
|
%
|
|
12.2
|
%
|
|
13.1
|
%
|
|
6.5
|
%
|
||||
Tier 1 capital ratio
|
12.9
|
|
|
11.3
|
|
|
6.0
|
|
|
12.2
|
|
|
13.1
|
|
|
8.0
|
|
||||
Total capital ratio
|
15.7
|
|
|
13.2
|
|
|
8.0
|
|
|
13.5
|
|
|
13.6
|
|
|
10.0
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Leverage-based metrics:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted quarterly average assets (in billions)
(6)
|
$
|
2,103
|
|
|
$
|
2,103
|
|
|
|
|
$
|
1,575
|
|
|
$
|
1,575
|
|
|
|
||
Tier 1 leverage ratio
|
8.6
|
%
|
|
8.6
|
%
|
|
4.0
|
|
|
9.2
|
%
|
|
9.2
|
%
|
|
5.0
|
|
(1)
|
As Advanced approaches institutions, the Corporation and its banking entity affiliates are required to report regulatory capital risk-weighted assets and ratios under both the Standardized and Advanced approaches. The approach that yields the lower ratio is to be used to assess capital adequacy and was the Advanced approaches method at
December 31, 2016 and 2015
.
|
(2)
|
The
December 31, 2016
amount includes a transition capital conservation buffer of
0.625 percent
and a transition global systemically important bank (G-SIB) surcharge of
0.75 percent
. The 2016 countercyclical capital buffer is
zero
.
|
(3)
|
To be “well capitalized” under the current U.S. banking regulatory agency definitions, a BHC must maintain a Total capital ratio of
10 percent
or greater.
|
(4)
|
Percent required to meet guidelines to be considered "well capitalized" under the PCA framework.
|
(5)
|
Total capital under the Advanced approaches differs from the Standardized approach due to differences in the amount permitted in Tier 2 capital related to the qualifying allowance for credit losses.
|
(6)
|
Reflects adjusted average total assets for the three months ended
December 31, 2016 and 2015
.
|
|
|
Bank of America 2016
185
|
186
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Pension and Postretirement Plans
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
Qualified
Pension Plan
(1)
|
|
Non-U.S.
Pension Plans
(1)
|
|
Nonqualified
and Other
Pension Plans
(1)
|
|
Postretirement
Health and Life
Plans
(1)
|
||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||
Change in fair value of plan assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Fair value, January 1
|
$
|
17,962
|
|
|
$
|
18,614
|
|
|
$
|
2,738
|
|
|
$
|
2,564
|
|
|
$
|
2,805
|
|
|
$
|
2,927
|
|
|
$
|
—
|
|
|
$
|
28
|
|
Actual return on plan assets
|
1,075
|
|
|
199
|
|
|
541
|
|
|
342
|
|
|
74
|
|
|
14
|
|
|
—
|
|
|
—
|
|
||||||||
Company contributions
|
—
|
|
|
—
|
|
|
48
|
|
|
58
|
|
|
104
|
|
|
97
|
|
|
104
|
|
|
79
|
|
||||||||
Plan participant contributions
|
—
|
|
|
—
|
|
|
1
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
125
|
|
|
127
|
|
||||||||
Settlements and curtailments
|
—
|
|
|
—
|
|
|
(20
|
)
|
|
(7
|
)
|
|
(6
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Benefits paid
|
(798
|
)
|
|
(851
|
)
|
|
(118
|
)
|
|
(78
|
)
|
|
(233
|
)
|
|
(233
|
)
|
|
(242
|
)
|
|
(247
|
)
|
||||||||
Federal subsidy on benefits paid
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
13
|
|
|
13
|
|
||||||||
Foreign currency exchange rate changes
|
n/a
|
|
|
n/a
|
|
|
(401
|
)
|
|
(142
|
)
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
||||||||
Fair value, December 31
|
$
|
18,239
|
|
|
$
|
17,962
|
|
|
$
|
2,789
|
|
|
$
|
2,738
|
|
|
$
|
2,744
|
|
|
$
|
2,805
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Change in projected benefit obligation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Projected benefit obligation, January 1
|
$
|
14,461
|
|
|
$
|
15,508
|
|
|
$
|
2,580
|
|
|
$
|
2,688
|
|
|
$
|
3,053
|
|
|
$
|
3,329
|
|
|
$
|
1,152
|
|
|
$
|
1,346
|
|
Service cost
|
—
|
|
|
—
|
|
|
25
|
|
|
27
|
|
|
—
|
|
|
—
|
|
|
7
|
|
|
8
|
|
||||||||
Interest cost
|
634
|
|
|
621
|
|
|
86
|
|
|
93
|
|
|
127
|
|
|
122
|
|
|
47
|
|
|
48
|
|
||||||||
Plan participant contributions
|
—
|
|
|
—
|
|
|
1
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
125
|
|
|
127
|
|
||||||||
Plan amendments
|
—
|
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Settlements and curtailments
|
—
|
|
|
—
|
|
|
(31
|
)
|
|
(7
|
)
|
|
(6
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Actuarial loss (gain)
|
685
|
|
|
(817
|
)
|
|
535
|
|
|
(2
|
)
|
|
106
|
|
|
(165
|
)
|
|
25
|
|
|
(141
|
)
|
||||||||
Benefits paid
|
(798
|
)
|
|
(851
|
)
|
|
(118
|
)
|
|
(78
|
)
|
|
(233
|
)
|
|
(233
|
)
|
|
(242
|
)
|
|
(247
|
)
|
||||||||
Federal subsidy on benefits paid
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
13
|
|
|
13
|
|
||||||||
Foreign currency exchange rate changes
|
n/a
|
|
|
n/a
|
|
|
(315
|
)
|
|
(141
|
)
|
|
n/a
|
|
|
n/a
|
|
|
(2
|
)
|
|
(2
|
)
|
||||||||
Projected benefit obligation, December 31
|
$
|
14,982
|
|
|
$
|
14,461
|
|
|
$
|
2,763
|
|
|
$
|
2,580
|
|
|
$
|
3,047
|
|
|
$
|
3,053
|
|
|
$
|
1,125
|
|
|
$
|
1,152
|
|
Amount recognized, December 31
|
$
|
3,257
|
|
|
$
|
3,501
|
|
|
$
|
26
|
|
|
$
|
158
|
|
|
$
|
(303
|
)
|
|
$
|
(248
|
)
|
|
$
|
(1,125
|
)
|
|
$
|
(1,152
|
)
|
Funded status, December 31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Accumulated benefit obligation
|
$
|
14,982
|
|
|
$
|
14,461
|
|
|
$
|
2,645
|
|
|
$
|
2,479
|
|
|
$
|
3,046
|
|
|
$
|
3,052
|
|
|
n/a
|
|
|
n/a
|
|
||
Overfunded (unfunded) status of ABO
|
3,257
|
|
|
3,501
|
|
|
144
|
|
|
259
|
|
|
(302
|
)
|
|
(247
|
)
|
|
n/a
|
|
|
n/a
|
|
||||||||
Provision for future salaries
|
—
|
|
|
—
|
|
|
118
|
|
|
101
|
|
|
1
|
|
|
1
|
|
|
n/a
|
|
|
n/a
|
|
||||||||
Projected benefit obligation
|
14,982
|
|
|
14,461
|
|
|
2,763
|
|
|
2,580
|
|
|
3,047
|
|
|
3,053
|
|
|
$
|
1,125
|
|
|
$
|
1,152
|
|
||||||
Weighted-average assumptions, December 31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Discount rate
|
4.16
|
%
|
|
4.51
|
%
|
|
2.56
|
%
|
|
3.59
|
%
|
|
4.01
|
%
|
|
4.34
|
%
|
|
3.99
|
%
|
|
4.32
|
%
|
||||||||
Rate of compensation increase
|
n/a
|
|
|
n/a
|
|
|
4.51
|
|
|
4.64
|
|
|
4.00
|
|
|
4.00
|
|
|
n/a
|
|
|
n/a
|
|
(1)
|
The measurement date for the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans was
December 31
of each year reported.
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Amounts Recognized on Consolidated Balance Sheet
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
Qualified
Pension Plan
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
|
Postretirement
Health and Life
Plans
|
||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||
Other assets
|
$
|
3,257
|
|
|
$
|
3,501
|
|
|
$
|
475
|
|
|
$
|
548
|
|
|
$
|
760
|
|
|
$
|
825
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Accrued expenses and other liabilities
|
—
|
|
|
—
|
|
|
(449
|
)
|
|
(390
|
)
|
|
(1,063
|
)
|
|
(1,073
|
)
|
|
(1,125
|
)
|
|
(1,152
|
)
|
||||||||
Net amount recognized at December 31
|
$
|
3,257
|
|
|
$
|
3,501
|
|
|
$
|
26
|
|
|
$
|
158
|
|
|
$
|
(303
|
)
|
|
$
|
(248
|
)
|
|
$
|
(1,125
|
)
|
|
$
|
(1,152
|
)
|
|
|
Bank of America 2016
187
|
|
|
|
|
|
|
|
|
||||||||
Plans with PBO and ABO in Excess of Plan Assets
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||
PBO
|
$
|
626
|
|
|
$
|
574
|
|
|
$
|
1,065
|
|
|
$
|
1,075
|
|
ABO
|
594
|
|
|
551
|
|
|
1,064
|
|
|
1,074
|
|
||||
Fair value of plan assets
|
179
|
|
|
183
|
|
|
1
|
|
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Components of Net Periodic Benefit Cost
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Qualified Pension Plan
|
|
Non-U.S. Pension Plans
|
||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
||||||||||||
Components of net periodic benefit cost (income)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Service cost
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
25
|
|
|
$
|
27
|
|
|
$
|
29
|
|
Interest cost
|
634
|
|
|
621
|
|
|
665
|
|
|
86
|
|
|
93
|
|
|
109
|
|
||||||
Expected return on plan assets
|
(1,038
|
)
|
|
(1,045
|
)
|
|
(1,018
|
)
|
|
(123
|
)
|
|
(133
|
)
|
|
(137
|
)
|
||||||
Amortization of prior service cost
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
1
|
|
|
1
|
|
||||||
Amortization of net actuarial loss
|
139
|
|
|
170
|
|
|
111
|
|
|
6
|
|
|
6
|
|
|
3
|
|
||||||
Recognized loss due to settlements and curtailments
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
—
|
|
|
2
|
|
||||||
Net periodic benefit cost (income)
|
$
|
(265
|
)
|
|
$
|
(254
|
)
|
|
$
|
(242
|
)
|
|
$
|
(4
|
)
|
|
$
|
(6
|
)
|
|
$
|
7
|
|
Weighted-average assumptions used to determine net cost for years ended December 31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Discount rate
|
4.51
|
%
|
|
4.12
|
%
|
|
4.85
|
%
|
|
3.59
|
%
|
|
3.56
|
%
|
|
4.30
|
%
|
||||||
Expected return on plan assets
|
6.00
|
|
|
6.00
|
|
|
6.00
|
|
|
4.84
|
|
|
5.27
|
|
|
5.52
|
|
||||||
Rate of compensation increase
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
4.67
|
|
|
4.70
|
|
|
4.91
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Nonqualified and
Other Pension Plans |
|
Postretirement Health
and Life Plans |
||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
||||||||||||
Components of net periodic benefit cost (income)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Service cost
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1
|
|
|
$
|
7
|
|
|
$
|
8
|
|
|
$
|
8
|
|
Interest cost
|
127
|
|
|
122
|
|
|
133
|
|
|
47
|
|
|
48
|
|
|
58
|
|
||||||
Expected return on plan assets
|
(101
|
)
|
|
(92
|
)
|
|
(124
|
)
|
|
—
|
|
|
(1
|
)
|
|
(4
|
)
|
||||||
Amortization of prior service cost
|
—
|
|
|
—
|
|
|
—
|
|
|
4
|
|
|
4
|
|
|
4
|
|
||||||
Amortization of net actuarial loss (gain)
|
25
|
|
|
34
|
|
|
25
|
|
|
(81
|
)
|
|
(46
|
)
|
|
(89
|
)
|
||||||
Recognized loss due to settlements and curtailments
|
3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Net periodic benefit cost (income)
|
$
|
54
|
|
|
$
|
64
|
|
|
$
|
35
|
|
|
$
|
(23
|
)
|
|
$
|
13
|
|
|
$
|
(23
|
)
|
Weighted-average assumptions used to determine net cost for years ended December 31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Discount rate
|
4.34
|
%
|
|
3.80
|
%
|
|
4.55
|
%
|
|
4.32
|
%
|
|
3.75
|
%
|
|
4.50
|
%
|
||||||
Expected return on plan assets
|
3.66
|
|
|
3.26
|
|
|
4.60
|
|
|
n/a
|
|
|
6.00
|
|
|
6.00
|
|
||||||
Rate of compensation increase
|
4.00
|
|
|
4.00
|
|
|
4.00
|
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
188
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Pretax Amounts Included in Accumulated OCI
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
|
Qualified
Pension Plan
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
|
Postretirement
Health and
Life Plans
|
|
Total
|
||||||||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||||||
Net actuarial loss (gain)
|
$
|
4,429
|
|
|
$
|
3,920
|
|
|
$
|
216
|
|
|
$
|
137
|
|
|
$
|
953
|
|
|
$
|
848
|
|
|
$
|
(44
|
)
|
|
$
|
(150
|
)
|
|
$
|
5,554
|
|
|
$
|
4,755
|
|
Prior service cost (credits)
|
—
|
|
|
—
|
|
|
4
|
|
|
(10
|
)
|
|
—
|
|
|
—
|
|
|
12
|
|
|
16
|
|
|
16
|
|
|
6
|
|
||||||||||
Amounts recognized in accumulated OCI
|
$
|
4,429
|
|
|
$
|
3,920
|
|
|
$
|
220
|
|
|
$
|
127
|
|
|
$
|
953
|
|
|
$
|
848
|
|
|
$
|
(32
|
)
|
|
$
|
(134
|
)
|
|
$
|
5,570
|
|
|
$
|
4,761
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Pretax Amounts Recognized in OCI
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
|
Qualified
Pension Plan
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
|
Postretirement
Health and
Life Plans
|
|
Total
|
||||||||||||||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||||||
Current year actuarial loss (gain)
|
$
|
648
|
|
|
$
|
29
|
|
|
$
|
100
|
|
|
$
|
(211
|
)
|
|
$
|
133
|
|
|
$
|
(86
|
)
|
|
$
|
25
|
|
|
$
|
(140
|
)
|
|
$
|
906
|
|
|
$
|
(408
|
)
|
Amortization of actuarial gain (loss)
|
(139
|
)
|
|
(170
|
)
|
|
(6
|
)
|
|
(6
|
)
|
|
(28
|
)
|
|
(34
|
)
|
|
81
|
|
|
46
|
|
|
(92
|
)
|
|
(164
|
)
|
||||||||||
Current year prior service cost (credit)
|
—
|
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
||||||||||
Amortization of prior service cost
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
(1
|
)
|
|
—
|
|
|
—
|
|
|
(4
|
)
|
|
(4
|
)
|
|
(5
|
)
|
|
(5
|
)
|
||||||||||
Amounts recognized in OCI
|
$
|
509
|
|
|
$
|
(141
|
)
|
|
$
|
93
|
|
|
$
|
(219
|
)
|
|
$
|
105
|
|
|
$
|
(120
|
)
|
|
$
|
102
|
|
|
$
|
(98
|
)
|
|
$
|
809
|
|
|
$
|
(578
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Estimated Pretax Amounts Amortized from Accumulated OCI into Period Cost in 2017
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
(Dollars in millions)
|
Qualified
Pension Plan
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
|
Postretirement
Health and
Life Plans
|
|
Total
|
||||||||||
Net actuarial loss (gain)
|
$
|
152
|
|
|
$
|
10
|
|
|
$
|
34
|
|
|
$
|
(20
|
)
|
|
$
|
176
|
|
Prior service cost
|
—
|
|
|
1
|
|
|
—
|
|
|
4
|
|
|
5
|
|
|||||
Total amounts amortized from accumulated OCI
|
$
|
152
|
|
|
$
|
11
|
|
|
$
|
34
|
|
|
$
|
(16
|
)
|
|
$
|
181
|
|
|
|
Bank of America 2016
189
|
|
|
|
|
2017 Target Allocation
|
|||
|
|
|
|
|
Percentage
|
||
Asset Category
|
Qualified
Pension Plan
|
Non-U.S.
Pension Plans
|
Nonqualified
and Other
Pension Plans
|
Equity securities
|
30 - 60
|
10 - 35
|
0 - 5
|
Debt securities
|
40 - 70
|
40 - 80
|
95 - 100
|
Real estate
|
0 - 10
|
0 - 15
|
0 - 5
|
Other
|
0 - 5
|
0 - 25
|
0 - 5
|
190
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
Fair Value Measurements
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2016
|
||||||||||||||
(Dollars in millions)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Cash and short-term investments
|
|
|
|
|
|
|
|
|
|
|
|
||||
Money market and interest-bearing cash
|
$
|
776
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
776
|
|
Cash and cash equivalent commingled/mutual funds
|
—
|
|
|
997
|
|
|
—
|
|
|
997
|
|
||||
Fixed income
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. government and agency securities
|
3,125
|
|
|
816
|
|
|
10
|
|
|
3,951
|
|
||||
Corporate debt securities
|
—
|
|
|
1,892
|
|
|
—
|
|
|
1,892
|
|
||||
Asset-backed securities
|
—
|
|
|
2,246
|
|
|
—
|
|
|
2,246
|
|
||||
Non-U.S. debt securities
|
789
|
|
|
705
|
|
|
—
|
|
|
1,494
|
|
||||
Fixed income commingled/mutual funds
|
778
|
|
|
1,503
|
|
|
—
|
|
|
2,281
|
|
||||
Equity
|
|
|
|
|
|
|
|
|
|
|
|
||||
Common and preferred equity securities
|
6,120
|
|
|
—
|
|
|
—
|
|
|
6,120
|
|
||||
Equity commingled/mutual funds
|
735
|
|
|
1,225
|
|
|
—
|
|
|
1,960
|
|
||||
Public real estate investment trusts
|
145
|
|
|
—
|
|
|
—
|
|
|
145
|
|
||||
Real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||
Private real estate
|
—
|
|
|
—
|
|
|
150
|
|
|
150
|
|
||||
Real estate commingled/mutual funds
|
—
|
|
|
12
|
|
|
748
|
|
|
760
|
|
||||
Limited partnerships
|
—
|
|
|
132
|
|
|
38
|
|
|
170
|
|
||||
Other investments
(1)
|
15
|
|
|
732
|
|
|
83
|
|
|
830
|
|
||||
Total plan investment assets, at fair value
|
$
|
12,483
|
|
|
$
|
10,260
|
|
|
$
|
1,029
|
|
|
$
|
23,772
|
|
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2015
|
||||||||||||||
Cash and short-term investments
|
|
|
|
|
|
|
|
|
|
|
|
||||
Money market and interest-bearing cash
|
$
|
3,061
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,061
|
|
Cash and cash equivalent commingled/mutual funds
|
—
|
|
|
4
|
|
|
—
|
|
|
4
|
|
||||
Fixed income
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. government and agency securities
|
2,723
|
|
|
881
|
|
|
11
|
|
|
3,615
|
|
||||
Corporate debt securities
|
—
|
|
|
1,795
|
|
|
—
|
|
|
1,795
|
|
||||
Asset-backed securities
|
—
|
|
|
1,939
|
|
|
—
|
|
|
1,939
|
|
||||
Non-U.S. debt securities
|
632
|
|
|
662
|
|
|
—
|
|
|
1,294
|
|
||||
Fixed income commingled/mutual funds
|
551
|
|
|
1,421
|
|
|
—
|
|
|
1,972
|
|
||||
Equity
|
|
|
|
|
|
|
|
|
|
|
|
||||
Common and preferred equity securities
|
6,735
|
|
|
—
|
|
|
—
|
|
|
6,735
|
|
||||
Equity commingled/mutual funds
|
3
|
|
|
1,503
|
|
|
—
|
|
|
1,506
|
|
||||
Public real estate investment trusts
|
138
|
|
|
—
|
|
|
—
|
|
|
138
|
|
||||
Real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||
Private real estate
|
—
|
|
|
—
|
|
|
144
|
|
|
144
|
|
||||
Real estate commingled/mutual funds
|
—
|
|
|
12
|
|
|
731
|
|
|
743
|
|
||||
Limited partnerships
|
—
|
|
|
121
|
|
|
49
|
|
|
170
|
|
||||
Other investments
(1)
|
—
|
|
|
287
|
|
|
102
|
|
|
389
|
|
||||
Total plan investment assets, at fair value
|
$
|
13,843
|
|
|
$
|
8,625
|
|
|
$
|
1,037
|
|
|
$
|
23,505
|
|
(1)
|
Other investments include interest rate swaps of
$257 million
and
$114 million
, participant loans of
$36 million
and
$58 million
, commodity and balanced funds of
$369 million
and
$165 million
and other various investments of
$168 million
and
$52 million
at
December 31, 2016 and 2015
.
|
|
|
Bank of America 2016
191
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Level 3 Fair Value Measurements
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
2016
|
||||||||||||||||||
(Dollars in millions)
|
Balance
January 1
|
|
Actual Return on
Plan Assets Still Held at the
Reporting Date
|
|
Purchases, Sales and Settlements
|
|
Transfers
out of Level 3
|
|
Balance
December 31
|
||||||||||
Fixed income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. government and agency securities
|
$
|
11
|
|
|
$
|
—
|
|
|
$
|
(1
|
)
|
|
$
|
—
|
|
|
$
|
10
|
|
Real estate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Private real estate
|
144
|
|
|
1
|
|
|
5
|
|
|
—
|
|
|
150
|
|
|||||
Real estate commingled/mutual funds
|
731
|
|
|
21
|
|
|
(4
|
)
|
|
—
|
|
|
748
|
|
|||||
Limited partnerships
|
49
|
|
|
(2
|
)
|
|
(9
|
)
|
|
—
|
|
|
38
|
|
|||||
Other investments
|
102
|
|
|
4
|
|
|
(23
|
)
|
|
—
|
|
|
83
|
|
|||||
Total
|
$
|
1,037
|
|
|
$
|
24
|
|
|
$
|
(32
|
)
|
|
$
|
—
|
|
|
$
|
1,029
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
2015
|
||||||||||||||||||
Fixed income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. government and agency securities
|
$
|
11
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
11
|
|
Real estate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Private real estate
|
127
|
|
|
14
|
|
|
3
|
|
|
—
|
|
|
144
|
|
|||||
Real estate commingled/mutual funds
|
632
|
|
|
37
|
|
|
62
|
|
|
—
|
|
|
731
|
|
|||||
Limited partnerships
|
65
|
|
|
(1
|
)
|
|
(15
|
)
|
|
—
|
|
|
49
|
|
|||||
Other investments
|
127
|
|
|
(5
|
)
|
|
(20
|
)
|
|
—
|
|
|
102
|
|
|||||
Total
|
$
|
962
|
|
|
$
|
45
|
|
|
$
|
30
|
|
|
$
|
—
|
|
|
$
|
1,037
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
2014
|
||||||||||||||||||
Fixed income
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. government and agency securities
|
$
|
12
|
|
|
$
|
—
|
|
|
$
|
(1
|
)
|
|
$
|
—
|
|
|
$
|
11
|
|
Non-U.S. debt securities
|
6
|
|
|
—
|
|
|
(2
|
)
|
|
(4
|
)
|
|
—
|
|
|||||
Real estate
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Private real estate
|
119
|
|
|
5
|
|
|
3
|
|
|
—
|
|
|
127
|
|
|||||
Real estate commingled/mutual funds
|
462
|
|
|
20
|
|
|
150
|
|
|
—
|
|
|
632
|
|
|||||
Limited partnerships
|
145
|
|
|
5
|
|
|
(85
|
)
|
|
—
|
|
|
65
|
|
|||||
Other investments
|
135
|
|
|
1
|
|
|
(9
|
)
|
|
—
|
|
|
127
|
|
|||||
Total
|
$
|
879
|
|
|
$
|
31
|
|
|
$
|
56
|
|
|
$
|
(4
|
)
|
|
$
|
962
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Projected Benefit Payments
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
Postretirement Health and Life Plans
|
||||||||||||
(Dollars in millions)
|
Qualified
Pension Plan
(1)
|
|
Non-U.S.
Pension Plans
(2)
|
|
Nonqualified
and Other
Pension Plans
(2)
|
|
Net Payments
(3)
|
|
Medicare
Subsidy
|
||||||||||
2017
|
$
|
906
|
|
|
$
|
55
|
|
|
$
|
240
|
|
|
$
|
111
|
|
|
$
|
13
|
|
2018
|
906
|
|
|
55
|
|
|
239
|
|
|
108
|
|
|
12
|
|
|||||
2019
|
898
|
|
|
58
|
|
|
241
|
|
|
102
|
|
|
12
|
|
|||||
2020
|
909
|
|
|
61
|
|
|
241
|
|
|
99
|
|
|
12
|
|
|||||
2021
|
905
|
|
|
66
|
|
|
236
|
|
|
96
|
|
|
11
|
|
|||||
2022 - 2026
|
4,446
|
|
|
427
|
|
|
1,091
|
|
|
425
|
|
|
49
|
|
(1)
|
Benefit payments expected to be made from the plan’s assets.
|
(2)
|
Benefit payments expected to be made from a combination of the plans’ and the Corporation’s assets.
|
(3)
|
Benefit payments (net of retiree contributions) expected to be made from the Corporation’s assets.
|
192
Bank of America 2016
|
|
|
|
|
|
Cash-settled Restricted Units
|
|
|
|
|
|
|
Units
|
|
Outstanding at January 1, 2016
|
255,355,014
|
|
Granted
|
5,787,494
|
|
Vested
|
(132,833,423
|
)
|
Canceled
|
(7,073,596
|
)
|
Outstanding at December 31, 2016
|
121,235,489
|
|
|
|
|
|
|||
Stock Options
|
||||||
|
|
|
|
|||
|
Options
|
|
Weighted-
average
Exercise Price
|
|||
Outstanding at January 1, 2016
|
63,875,475
|
|
|
$
|
49.18
|
|
Forfeited
|
(21,518,193
|
)
|
|
46.45
|
|
|
Outstanding at December 31, 2016
|
42,357,282
|
|
|
50.57
|
|
|
|
|
|
|
|
||||||
Income Tax Expense
|
|
|
|
|
|||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Current income tax expense
|
|
|
|
|
|
|
|
|
|||
U.S. federal
|
$
|
302
|
|
|
$
|
2,539
|
|
|
$
|
443
|
|
U.S. state and local
|
120
|
|
|
210
|
|
|
340
|
|
|||
Non-U.S.
|
984
|
|
|
561
|
|
|
513
|
|
|||
Total current expense
|
1,406
|
|
|
3,310
|
|
|
1,296
|
|
|||
Deferred income tax expense
|
|
|
|
|
|
|
|
|
|||
U.S. federal
|
5,464
|
|
|
1,812
|
|
|
953
|
|
|||
U.S. state and local
|
(279
|
)
|
|
515
|
|
|
136
|
|
|||
Non-U.S.
|
656
|
|
|
597
|
|
|
58
|
|
|||
Total deferred expense
|
5,841
|
|
|
2,924
|
|
|
1,147
|
|
|||
Total income tax expense
|
$
|
7,247
|
|
|
$
|
6,234
|
|
|
$
|
2,443
|
|
|
|
Bank of America 2016
193
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Reconciliation of Income Tax Expense
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
2016
|
|
2015
|
|
2014
|
|||||||||||||||
(Dollars in millions)
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
|||||||||
Expected U.S. federal income tax expense
|
$
|
8,804
|
|
|
35.0
|
%
|
|
$
|
7,725
|
|
|
35.0
|
%
|
|
$
|
2,787
|
|
|
35.0
|
%
|
Increase (decrease) in taxes resulting from:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
State tax expense, net of federal benefit
|
420
|
|
|
1.7
|
|
|
438
|
|
|
1.9
|
|
|
322
|
|
|
4.0
|
|
|||
Affordable housing/energy/other credits
|
(1,203
|
)
|
|
(4.8
|
)
|
|
(1,087
|
)
|
|
(4.9
|
)
|
|
(950
|
)
|
|
(11.9
|
)
|
|||
Tax-exempt income, including dividends
|
(562
|
)
|
|
(2.3
|
)
|
|
(539
|
)
|
|
(2.4
|
)
|
|
(533
|
)
|
|
(6.6
|
)
|
|||
Changes in prior-period UTBs, including interest
|
(328
|
)
|
|
(1.3
|
)
|
|
(52
|
)
|
|
(0.2
|
)
|
|
(754
|
)
|
|
(9.5
|
)
|
|||
Non-U.S. tax rate differential
|
(307
|
)
|
|
(1.2
|
)
|
|
(559
|
)
|
|
(2.5
|
)
|
|
(507
|
)
|
|
(6.4
|
)
|
|||
Non-U.S. tax law changes
|
348
|
|
|
1.4
|
|
|
289
|
|
|
1.3
|
|
|
—
|
|
|
—
|
|
|||
Nondeductible expenses
|
180
|
|
|
0.7
|
|
|
40
|
|
|
0.1
|
|
|
1,982
|
|
|
24.9
|
|
|||
Other
|
(105
|
)
|
|
(0.4
|
)
|
|
(21
|
)
|
|
(0.1
|
)
|
|
96
|
|
|
1.2
|
|
|||
Total income tax expense
|
$
|
7,247
|
|
|
28.8
|
%
|
|
$
|
6,234
|
|
|
28.2
|
%
|
|
$
|
2,443
|
|
|
30.7
|
%
|
|
|
|
|
|
|
||||||
Reconciliation of the Change in Unrecognized Tax Benefits
|
|||||||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Balance, January 1
|
$
|
1,095
|
|
|
$
|
1,068
|
|
|
$
|
3,068
|
|
Increases related to positions taken during the current year
|
104
|
|
|
36
|
|
|
75
|
|
|||
Increases related to positions taken during prior years
|
1,318
|
|
|
187
|
|
|
519
|
|
|||
Decreases related to positions taken during prior years
|
(1,091
|
)
|
|
(177
|
)
|
|
(973
|
)
|
|||
Settlements
|
(503
|
)
|
|
(1
|
)
|
|
(1,594
|
)
|
|||
Expiration of statute of limitations
|
(48
|
)
|
|
(18
|
)
|
|
(27
|
)
|
|||
Balance, December 31
|
$
|
875
|
|
|
$
|
1,095
|
|
|
$
|
1,068
|
|
|
|
|
|
Tax Examination Status
|
|
|
|
|
|
|
|
|
Years under
Examination
(1)
|
|
Status at December 31 2016
|
U.S.
|
2012 – 2013
|
|
Field examination
|
New York
|
2015
|
|
To begin in 2017
|
U.K.
|
2012-2014
|
|
Field examination
|
(1)
|
All tax years subsequent to the years shown remain subject to examination.
|
194
Bank of America 2016
|
|
|
|
|
|
|
||||
Deferred Tax Assets and Liabilities
|
|
|
|
||||
|
|
|
|
||||
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Deferred tax assets
|
|
|
|
|
|
||
Net operating loss carryforwards
|
$
|
9,199
|
|
|
$
|
9,439
|
|
Security, loan and debt valuations
|
4,726
|
|
|
4,919
|
|
||
Allowance for credit losses
|
4,362
|
|
|
4,649
|
|
||
Tax credit carryforwards
|
3,125
|
|
|
2,266
|
|
||
Accrued expenses
|
3,016
|
|
|
6,340
|
|
||
Employee compensation and retirement benefits
|
2,677
|
|
|
3,593
|
|
||
Available-for-sale securities
|
784
|
|
|
152
|
|
||
Other
|
1,599
|
|
|
2,483
|
|
||
Gross deferred tax assets
|
29,488
|
|
|
33,841
|
|
||
Valuation allowance
|
(1,117
|
)
|
|
(1,149
|
)
|
||
Total deferred tax assets, net of valuation allowance
|
28,371
|
|
|
32,692
|
|
||
|
|
|
|
||||
Deferred tax liabilities
|
|
|
|
|
|
||
Equipment lease financing
|
3,489
|
|
|
3,014
|
|
||
Intangibles
|
1,171
|
|
|
1,306
|
|
||
Fee income
|
847
|
|
|
864
|
|
||
Mortgage servicing rights
|
829
|
|
|
689
|
|
||
Long-term borrowings
|
355
|
|
|
327
|
|
||
Other
|
2,454
|
|
|
1,859
|
|
||
Gross deferred tax liabilities
|
9,145
|
|
|
8,059
|
|
||
Net deferred tax assets, net of valuation allowance
|
$
|
19,226
|
|
|
$
|
24,633
|
|
|
|
|
|
|
|
|
|
||||||
Net Operating Loss and Tax Credit Carryforward Deferred Tax Assets
|
|||||||||||||
|
|
|
|
|
|
|
|
||||||
(Dollars in millions)
|
Deferred
Tax Asset
|
|
Valuation
Allowance
|
|
Net
Deferred
Tax Asset
|
|
First Year
Expiring
|
||||||
Net operating losses – U.S.
|
$
|
1,908
|
|
|
$
|
—
|
|
|
$
|
1,908
|
|
|
After 2027
|
Net operating losses – U.K.
|
5,410
|
|
|
—
|
|
|
5,410
|
|
|
None
(1)
|
|||
Net operating losses – other non-U.S.
|
411
|
|
|
(311
|
)
|
|
100
|
|
|
Various
|
|||
Net operating losses – U.S. states
(2)
|
1,470
|
|
|
(398
|
)
|
|
1,072
|
|
|
Various
|
|||
General business credits
|
3,053
|
|
|
—
|
|
|
3,053
|
|
|
After 2031
|
|||
Foreign tax credits
|
72
|
|
|
(72
|
)
|
|
—
|
|
|
n/a
|
(1)
|
The U.K. net operating losses may be carried forward indefinitely.
|
(2)
|
The net operating losses and related valuation allowances for U.S. states before considering the benefit of federal deductions were
$2.3 billion
and
$612 million
.
|
|
|
Bank of America 2016
195
|
196
Bank of America 2016
|
|
|
|
|
Bank of America 2016
197
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2016
|
||||||||||||||||||
|
Fair Value Measurements
|
|
|
|
|
||||||||||||||
(Dollars in millions)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Netting Adjustments
(1)
|
|
Assets/Liabilities at Fair Value
|
||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
$
|
—
|
|
|
$
|
49,750
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
49,750
|
|
Trading account assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. Treasury and agency securities
(2)
|
34,587
|
|
|
1,927
|
|
|
—
|
|
|
—
|
|
|
36,514
|
|
|||||
Corporate securities, trading loans and other
|
171
|
|
|
22,861
|
|
|
2,777
|
|
|
—
|
|
|
25,809
|
|
|||||
Equity securities
|
50,169
|
|
|
21,601
|
|
|
281
|
|
|
—
|
|
|
72,051
|
|
|||||
Non-U.S. sovereign debt
|
9,578
|
|
|
9,940
|
|
|
510
|
|
|
—
|
|
|
20,028
|
|
|||||
Mortgage trading loans, MBS and ABS:
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. government-sponsored agency guaranteed
(2)
|
—
|
|
|
15,799
|
|
|
—
|
|
|
—
|
|
|
15,799
|
|
|||||
Mortgage trading loans, ABS and other MBS
|
—
|
|
|
8,797
|
|
|
1,211
|
|
|
—
|
|
|
10,008
|
|
|||||
Total trading account assets
(3)
|
94,505
|
|
|
80,925
|
|
|
4,779
|
|
|
—
|
|
|
180,209
|
|
|||||
Derivative assets
(4)
|
7,337
|
|
|
619,848
|
|
|
3,931
|
|
|
(588,604
|
)
|
|
42,512
|
|
|||||
AFS debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. Treasury and agency securities
|
46,787
|
|
|
1,465
|
|
|
—
|
|
|
—
|
|
|
48,252
|
|
|||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Agency
|
—
|
|
|
189,486
|
|
|
—
|
|
|
—
|
|
|
189,486
|
|
|||||
Agency-collateralized mortgage obligations
|
—
|
|
|
8,330
|
|
|
—
|
|
|
—
|
|
|
8,330
|
|
|||||
Non-agency residential
|
—
|
|
|
2,013
|
|
|
—
|
|
|
—
|
|
|
2,013
|
|
|||||
Commercial
|
—
|
|
|
12,322
|
|
|
—
|
|
|
—
|
|
|
12,322
|
|
|||||
Non-U.S. securities
|
2,553
|
|
|
3,600
|
|
|
229
|
|
|
—
|
|
|
6,382
|
|
|||||
Other taxable securities
|
—
|
|
|
10,020
|
|
|
594
|
|
|
—
|
|
|
10,614
|
|
|||||
Tax-exempt securities
|
—
|
|
|
16,618
|
|
|
542
|
|
|
—
|
|
|
17,160
|
|
|||||
Total AFS debt securities
|
49,340
|
|
|
243,854
|
|
|
1,365
|
|
|
—
|
|
|
294,559
|
|
|||||
Other debt securities carried at fair value:
|
|
|
|
|
|
|
|
|
|
||||||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Agency-collateralized mortgage obligations
|
—
|
|
|
5
|
|
|
—
|
|
|
—
|
|
|
5
|
|
|||||
Non-agency residential
|
—
|
|
|
3,114
|
|
|
25
|
|
|
—
|
|
|
3,139
|
|
|||||
Non-U.S. securities
|
15,109
|
|
|
1,227
|
|
|
—
|
|
|
—
|
|
|
16,336
|
|
|||||
Other taxable securities
|
—
|
|
|
240
|
|
|
—
|
|
|
—
|
|
|
240
|
|
|||||
Total other debt securities carried at fair value
|
15,109
|
|
|
4,586
|
|
|
25
|
|
|
—
|
|
|
19,720
|
|
|||||
Loans and leases
|
—
|
|
|
6,365
|
|
|
720
|
|
|
—
|
|
|
7,085
|
|
|||||
Mortgage servicing rights
|
—
|
|
|
—
|
|
|
2,747
|
|
|
—
|
|
|
2,747
|
|
|||||
Loans held-for-sale
|
—
|
|
|
3,370
|
|
|
656
|
|
|
—
|
|
|
4,026
|
|
|||||
Other assets
|
11,824
|
|
|
1,739
|
|
|
239
|
|
|
—
|
|
|
13,802
|
|
|||||
Total assets
|
$
|
178,115
|
|
|
$
|
1,010,437
|
|
|
$
|
14,462
|
|
|
$
|
(588,604
|
)
|
|
$
|
614,410
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest-bearing deposits in U.S. offices
|
$
|
—
|
|
|
$
|
731
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
731
|
|
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
—
|
|
|
35,407
|
|
|
359
|
|
|
—
|
|
|
35,766
|
|
|||||
Trading account liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. Treasury and agency securities
|
15,854
|
|
|
197
|
|
|
—
|
|
|
—
|
|
|
16,051
|
|
|||||
Equity securities
|
25,884
|
|
|
3,014
|
|
|
—
|
|
|
—
|
|
|
28,898
|
|
|||||
Non-U.S. sovereign debt
|
9,409
|
|
|
2,103
|
|
|
—
|
|
|
—
|
|
|
11,512
|
|
|||||
Corporate securities and other
|
163
|
|
|
6,380
|
|
|
27
|
|
|
—
|
|
|
6,570
|
|
|||||
Total trading account liabilities
|
51,310
|
|
|
11,694
|
|
|
27
|
|
|
—
|
|
|
63,031
|
|
|||||
Derivative liabilities
(4)
|
7,173
|
|
|
615,896
|
|
|
5,244
|
|
|
(588,833
|
)
|
|
39,480
|
|
|||||
Short-term borrowings
|
—
|
|
|
2,024
|
|
|
—
|
|
|
—
|
|
|
2,024
|
|
|||||
Accrued expenses and other liabilities
|
12,978
|
|
|
1,643
|
|
|
9
|
|
|
—
|
|
|
14,630
|
|
|||||
Long-term debt
|
—
|
|
|
28,523
|
|
|
1,514
|
|
|
—
|
|
|
30,037
|
|
|||||
Total liabilities
|
$
|
71,461
|
|
|
$
|
695,918
|
|
|
$
|
7,153
|
|
|
$
|
(588,833
|
)
|
|
$
|
185,699
|
|
(1)
|
Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties.
|
(2)
|
Includes
$17.5 billion
of GSE obligations.
|
(3)
|
Includes securities with a fair value of
$14.6 billion
that were segregated in compliance with securities regulations or deposited with clearing organizations. This amount is included in the parenthetical disclosure on the Consolidated Balance Sheet.
|
(4)
|
During
2016
,
$2.3 billion
of derivative assets and
$2.4 billion
of derivative liabilities were transferred from Level 1 to Level 2 and
$2.0 billion
of derivative assets and
$1.8 billion
of derivative liabilities were transferred from Level 2 to Level 1 based on the inputs used to measure fair value. For further disaggregation of derivative assets and liabilities, see
Note 2 – Derivatives
.
|
198
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
December 31, 2015
|
||||||||||||||||||
|
Fair Value Measurements
|
|
|
|
|
||||||||||||||
(Dollars in millions)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Netting Adjustments
(1)
|
|
Assets/Liabilities at Fair Value
|
||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
$
|
—
|
|
|
$
|
55,143
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
55,143
|
|
Trading account assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. Treasury and agency securities
(2)
|
33,034
|
|
|
2,413
|
|
|
—
|
|
|
—
|
|
|
35,447
|
|
|||||
Corporate securities, trading loans and other
|
325
|
|
|
22,738
|
|
|
2,838
|
|
|
—
|
|
|
25,901
|
|
|||||
Equity securities
|
41,735
|
|
|
20,887
|
|
|
407
|
|
|
—
|
|
|
63,029
|
|
|||||
Non-U.S. sovereign debt
|
15,651
|
|
|
12,915
|
|
|
521
|
|
|
—
|
|
|
29,087
|
|
|||||
Mortgage trading loans, MBS and ABS:
|
|
|
|
|
|
|
|
|
|
||||||||||
U.S. government-sponsored agency guaranteed
(2)
|
—
|
|
|
13,088
|
|
|
—
|
|
|
—
|
|
|
13,088
|
|
|||||
Mortgage trading loans, ABS and other MBS
|
—
|
|
|
8,107
|
|
|
1,868
|
|
|
—
|
|
|
9,975
|
|
|||||
Total trading account assets
(3)
|
90,745
|
|
|
80,148
|
|
|
5,634
|
|
|
—
|
|
|
176,527
|
|
|||||
Derivative assets
(4)
|
5,149
|
|
|
678,355
|
|
|
5,134
|
|
|
(638,648
|
)
|
|
49,990
|
|
|||||
AFS debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
U.S. Treasury and agency securities
|
23,374
|
|
|
1,903
|
|
|
—
|
|
|
—
|
|
|
25,277
|
|
|||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Agency
|
—
|
|
|
228,947
|
|
|
—
|
|
|
—
|
|
|
228,947
|
|
|||||
Agency-collateralized mortgage obligations
|
—
|
|
|
10,985
|
|
|
—
|
|
|
—
|
|
|
10,985
|
|
|||||
Non-agency residential
|
—
|
|
|
3,073
|
|
|
106
|
|
|
—
|
|
|
3,179
|
|
|||||
Commercial
|
—
|
|
|
7,165
|
|
|
—
|
|
|
—
|
|
|
7,165
|
|
|||||
Non-U.S. securities
|
2,768
|
|
|
2,999
|
|
|
—
|
|
|
—
|
|
|
5,767
|
|
|||||
Other taxable securities
|
—
|
|
|
9,688
|
|
|
757
|
|
|
—
|
|
|
10,445
|
|
|||||
Tax-exempt securities
|
—
|
|
|
13,439
|
|
|
569
|
|
|
—
|
|
|
14,008
|
|
|||||
Total AFS debt securities
|
26,142
|
|
|
278,199
|
|
|
1,432
|
|
|
—
|
|
|
305,773
|
|
|||||
Other debt securities carried at fair value:
|
|
|
|
|
|
|
|
|
|
||||||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Agency-collateralized mortgage obligations
|
—
|
|
|
7
|
|
|
—
|
|
|
—
|
|
|
7
|
|
|||||
Non-agency residential
|
—
|
|
|
3,460
|
|
|
30
|
|
|
—
|
|
|
3,490
|
|
|||||
Non-U.S. securities
|
11,691
|
|
|
1,152
|
|
|
—
|
|
|
—
|
|
|
12,843
|
|
|||||
Other taxable securities
|
—
|
|
|
267
|
|
|
—
|
|
|
—
|
|
|
267
|
|
|||||
Total other debt securities carried at fair value
|
11,691
|
|
|
4,886
|
|
|
30
|
|
|
—
|
|
|
16,607
|
|
|||||
Loans and leases
|
—
|
|
|
5,318
|
|
|
1,620
|
|
|
—
|
|
|
6,938
|
|
|||||
Mortgage servicing rights
|
—
|
|
|
—
|
|
|
3,087
|
|
|
—
|
|
|
3,087
|
|
|||||
Loans held-for-sale
|
—
|
|
|
4,031
|
|
|
787
|
|
|
—
|
|
|
4,818
|
|
|||||
Other assets
(5)
|
11,923
|
|
|
2,023
|
|
|
374
|
|
|
—
|
|
|
14,320
|
|
|||||
Total assets
|
$
|
145,650
|
|
|
$
|
1,108,103
|
|
|
$
|
18,098
|
|
|
$
|
(638,648
|
)
|
|
$
|
633,203
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest-bearing deposits in U.S. offices
|
$
|
—
|
|
|
$
|
1,116
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,116
|
|
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
—
|
|
|
24,239
|
|
|
335
|
|
|
—
|
|
|
24,574
|
|
|||||
Trading account liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. Treasury and agency securities
|
14,803
|
|
|
169
|
|
|
—
|
|
|
—
|
|
|
14,972
|
|
|||||
Equity securities
|
27,898
|
|
|
2,392
|
|
|
—
|
|
|
—
|
|
|
30,290
|
|
|||||
Non-U.S. sovereign debt
|
13,589
|
|
|
1,951
|
|
|
—
|
|
|
—
|
|
|
15,540
|
|
|||||
Corporate securities and other
|
193
|
|
|
5,947
|
|
|
21
|
|
|
—
|
|
|
6,161
|
|
|||||
Total trading account liabilities
|
56,483
|
|
|
10,459
|
|
|
21
|
|
|
—
|
|
|
66,963
|
|
|||||
Derivative liabilities
(4)
|
4,941
|
|
|
670,600
|
|
|
5,575
|
|
|
(642,666
|
)
|
|
38,450
|
|
|||||
Short-term borrowings
|
—
|
|
|
1,295
|
|
|
30
|
|
|
—
|
|
|
1,325
|
|
|||||
Accrued expenses and other liabilities
|
11,656
|
|
|
2,234
|
|
|
9
|
|
|
—
|
|
|
13,899
|
|
|||||
Long-term debt
|
—
|
|
|
28,584
|
|
|
1,513
|
|
|
—
|
|
|
30,097
|
|
|||||
Total liabilities
|
$
|
73,080
|
|
|
$
|
738,527
|
|
|
$
|
7,483
|
|
|
$
|
(642,666
|
)
|
|
$
|
176,424
|
|
(1)
|
Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties.
|
(2)
|
Includes
$14.8 billion
of GSE obligations.
|
(3)
|
Includes securities with a fair value of
$16.4 billion
that were segregated in compliance with securities regulations or deposited with clearing organizations. This amount is included in the parenthetical disclosure on the Consolidated Balance Sheet.
|
(4)
|
During
2015
,
$6.6 billion
of derivative assets and
$6.7 billion
of derivative liabilities were transferred from Level 1 to Level 2 based on inputs used to measure fair value. Additionally
$6.4 billion
of derivative assets and
$6.2 billion
of derivative liabilities were transferred from Level 2 to Level 1 due to additional information related to certain options. For further disaggregation of derivative assets and liabilities, see
Note 2 – Derivatives
.
|
(5)
|
During
2015
, approximately
$327 million
of assets were transferred from Level 2 to Level 1 due to a restriction that was lifted for an equity investment.
|
|
|
Bank of America 2016
199
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
Level 3 – Fair Value Measurements
(1)
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
|
2016
|
|
|||||||||||||||||||||||||||||||
|
|
|
|
Gross
|
|
|
|
|
|||||||||||||||||||||||||
(Dollars in millions)
|
Balance
January 1
2016
|
Total Realized/Unrealized Gains/(Losses)
(2)
|
Gains
(Losses) in OCI (3) |
Purchases
|
Sales
|
Issuances
|
Settlements
|
Gross
Transfers into
Level 3
|
Gross
Transfers out of
Level 3
|
Balance
December 31 2016 |
Change in Unrealized Gains/(Losses) Related to Financial Instruments Still Held
(2)
|
||||||||||||||||||||||
Trading account assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Corporate securities, trading loans and other
|
$
|
2,838
|
|
$
|
78
|
|
$
|
2
|
|
$
|
1,508
|
|
$
|
(847
|
)
|
$
|
—
|
|
$
|
(725
|
)
|
$
|
728
|
|
$
|
(805
|
)
|
$
|
2,777
|
|
$
|
(82
|
)
|
Equity securities
|
407
|
|
74
|
|
—
|
|
73
|
|
(169
|
)
|
—
|
|
(82
|
)
|
70
|
|
(92
|
)
|
281
|
|
(59
|
)
|
|||||||||||
Non-U.S. sovereign debt
|
521
|
|
122
|
|
91
|
|
12
|
|
(146
|
)
|
—
|
|
(90
|
)
|
—
|
|
—
|
|
510
|
|
120
|
|
|||||||||||
Mortgage trading loans, ABS and other MBS
|
1,868
|
|
188
|
|
(2
|
)
|
988
|
|
(1,491
|
)
|
—
|
|
(344
|
)
|
158
|
|
(154
|
)
|
1,211
|
|
64
|
|
|||||||||||
Total trading account assets
|
5,634
|
|
462
|
|
91
|
|
2,581
|
|
(2,653
|
)
|
—
|
|
(1,241
|
)
|
956
|
|
(1,051
|
)
|
4,779
|
|
43
|
|
|||||||||||
Net derivative assets
(4)
|
(441
|
)
|
285
|
|
—
|
|
470
|
|
(1,155
|
)
|
—
|
|
76
|
|
(186
|
)
|
(362
|
)
|
(1,313
|
)
|
(376
|
)
|
|||||||||||
AFS debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Non-agency residential MBS
|
106
|
|
—
|
|
—
|
|
—
|
|
(106
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
||||||||||||
Non-U.S. securities
|
—
|
|
—
|
|
(6
|
)
|
584
|
|
(92
|
)
|
—
|
|
(263
|
)
|
6
|
|
—
|
|
229
|
|
—
|
|
|||||||||||
Other taxable securities
|
757
|
|
4
|
|
(2
|
)
|
—
|
|
—
|
|
—
|
|
(83
|
)
|
—
|
|
(82
|
)
|
594
|
|
—
|
|
|||||||||||
Tax-exempt securities
|
569
|
|
—
|
|
(1
|
)
|
1
|
|
—
|
|
—
|
|
(2
|
)
|
10
|
|
(35
|
)
|
542
|
|
—
|
|
|||||||||||
Total AFS debt securities
|
1,432
|
|
4
|
|
(9
|
)
|
585
|
|
(198
|
)
|
—
|
|
(348
|
)
|
16
|
|
(117
|
)
|
1,365
|
|
—
|
|
|||||||||||
Other debt securities carried at fair value – Non-agency residential MBS
|
30
|
|
(5
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
25
|
|
—
|
|
|||||||||||
Loans and leases
(5, 6)
|
1,620
|
|
(44
|
)
|
—
|
|
69
|
|
(553
|
)
|
50
|
|
(194
|
)
|
6
|
|
(234
|
)
|
720
|
|
17
|
|
|||||||||||
Mortgage servicing rights
(6)
|
3,087
|
|
149
|
|
—
|
|
—
|
|
(80
|
)
|
411
|
|
(820
|
)
|
—
|
|
—
|
|
2,747
|
|
(107
|
)
|
|||||||||||
Loans held-for-sale
(5)
|
787
|
|
79
|
|
50
|
|
22
|
|
(256
|
)
|
—
|
|
(93
|
)
|
173
|
|
(106
|
)
|
656
|
|
70
|
|
|||||||||||
Other assets
|
374
|
|
(13
|
)
|
—
|
|
38
|
|
(111
|
)
|
—
|
|
(52
|
)
|
3
|
|
—
|
|
239
|
|
(36
|
)
|
|||||||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase
(5)
|
(335
|
)
|
(11
|
)
|
—
|
|
—
|
|
—
|
|
(22
|
)
|
27
|
|
(19
|
)
|
1
|
|
(359
|
)
|
4
|
|
|||||||||||
Trading account liabilities – Corporate securities and other
|
(21
|
)
|
5
|
|
—
|
|
—
|
|
(11
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(27
|
)
|
4
|
|
|||||||||||
Short-term borrowings
(5)
|
(30
|
)
|
1
|
|
—
|
|
—
|
|
—
|
|
—
|
|
29
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||||
Accrued expenses and other liabilities
(5)
|
(9
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(9
|
)
|
—
|
|
|||||||||||
Long-term debt
(5)
|
(1,513
|
)
|
(74
|
)
|
(20
|
)
|
140
|
|
—
|
|
(521
|
)
|
948
|
|
(939
|
)
|
465
|
|
(1,514
|
)
|
(184
|
)
|
(1)
|
Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3.
|
(2)
|
Includes gains/losses reported in earnings in the following income statement line items: Trading account assets/liabilities - trading account profits (losses); Net derivative assets - primarily trading account profits (losses) and mortgage banking income (loss); Mortgage servicing rights - primarily mortgage banking income (loss); Long-term debt - primarily trading account profits (losses).
|
(3)
|
Includes gains/losses in OCI related to unrealized gains/losses on AFS debt securities, foreign currency translation adjustments and the impact of changes in the Corporation’s credit spreads on long-term debt accounted for under the fair value option.
|
(4)
|
Net derivatives include derivative assets of
$3.9 billion
and derivative liabilities of
$5.2 billion
.
|
(5)
|
Amounts represent instruments that are accounted for under the fair value option.
|
(6)
|
Issuances represent loan originations and MSRs retained following securitizations or whole-loan sales.
|
200
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
Level 3 – Fair Value Measurements
(1)
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
|
2015
|
|
|||||||||||||||||||||||||||||||
|
|
|
|
Gross
|
|
|
|
|
|||||||||||||||||||||||||
(Dollars in millions)
|
Balance
January 1
2015
|
Total Realized/Unrealized Gains/(Losses)
(2)
|
Gains
(Losses) in OCI (3) |
Purchases
|
Sales
|
Issuances
|
Settlements
|
Gross
Transfers into
Level 3
|
Gross
Transfers out of
Level 3
|
Balance
December 31
2015
|
Change in Unrealized Gains/(Losses) Related to Financial Instruments Still Held
(2)
|
||||||||||||||||||||||
Trading account assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Corporate securities, trading loans and other
|
$
|
3,270
|
|
$
|
(31
|
)
|
$
|
(11
|
)
|
$
|
1,540
|
|
$
|
(1,616
|
)
|
$
|
—
|
|
$
|
(1,122
|
)
|
$
|
1,570
|
|
$
|
(762
|
)
|
$
|
2,838
|
|
$
|
(123
|
)
|
Equity securities
|
352
|
|
9
|
|
—
|
|
49
|
|
(11
|
)
|
—
|
|
(11
|
)
|
41
|
|
(22
|
)
|
407
|
|
3
|
|
|||||||||||
Non-U.S. sovereign debt
|
574
|
|
114
|
|
(179
|
)
|
185
|
|
(1
|
)
|
—
|
|
(145
|
)
|
—
|
|
(27
|
)
|
521
|
|
74
|
|
|||||||||||
Mortgage trading loans, ABS and other MBS
|
2,063
|
|
154
|
|
1
|
|
1,250
|
|
(1,117
|
)
|
—
|
|
(493
|
)
|
50
|
|
(40
|
)
|
1,868
|
|
(93
|
)
|
|||||||||||
Total trading account assets
|
6,259
|
|
246
|
|
(189
|
)
|
3,024
|
|
(2,745
|
)
|
—
|
|
(1,771
|
)
|
1,661
|
|
(851
|
)
|
5,634
|
|
(139
|
)
|
|||||||||||
Net derivative assets
(4)
|
(920
|
)
|
1,335
|
|
(7
|
)
|
273
|
|
(863
|
)
|
—
|
|
(261
|
)
|
(40
|
)
|
42
|
|
(441
|
)
|
605
|
|
|||||||||||
AFS debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Non-agency residential MBS
|
279
|
|
(12
|
)
|
—
|
|
134
|
|
—
|
|
—
|
|
(425
|
)
|
167
|
|
(37
|
)
|
106
|
|
|
||||||||||||
Non-U.S. securities
|
10
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(10
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||||
Other taxable securities
|
1,667
|
|
—
|
|
—
|
|
189
|
|
—
|
|
—
|
|
(160
|
)
|
—
|
|
(939
|
)
|
757
|
|
—
|
|
|||||||||||
Tax-exempt securities
|
599
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(30
|
)
|
—
|
|
—
|
|
569
|
|
—
|
|
|||||||||||
Total AFS debt securities
|
2,555
|
|
(12
|
)
|
—
|
|
323
|
|
—
|
|
—
|
|
(625
|
)
|
167
|
|
(976
|
)
|
1,432
|
|
—
|
|
|||||||||||
Other debt securities carried at fair value – Non-agency residential MBS
|
—
|
|
(3
|
)
|
—
|
|
33
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
30
|
|
—
|
|
|||||||||||
Loans and leases
(5, 6)
|
1,983
|
|
(23
|
)
|
—
|
|
—
|
|
(4
|
)
|
57
|
|
(237
|
)
|
144
|
|
(300
|
)
|
1,620
|
|
13
|
|
|||||||||||
Mortgage servicing rights
(6)
|
3,530
|
|
187
|
|
—
|
|
—
|
|
(393
|
)
|
637
|
|
(874
|
)
|
—
|
|
—
|
|
3,087
|
|
(85
|
)
|
|||||||||||
Loans held-for-sale
(5)
|
173
|
|
(51
|
)
|
(8
|
)
|
771
|
|
(203
|
)
|
61
|
|
(61
|
)
|
203
|
|
(98
|
)
|
787
|
|
(39
|
)
|
|||||||||||
Other assets
|
911
|
|
(55
|
)
|
—
|
|
11
|
|
(130
|
)
|
—
|
|
(51
|
)
|
10
|
|
(322
|
)
|
374
|
|
(61
|
)
|
|||||||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase
(5)
|
—
|
|
(11
|
)
|
—
|
|
—
|
|
—
|
|
(131
|
)
|
217
|
|
(411
|
)
|
1
|
|
(335
|
)
|
—
|
|
|||||||||||
Trading account liabilities – Corporate securities and other
|
(36
|
)
|
19
|
|
—
|
|
30
|
|
(34
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(21
|
)
|
(3
|
)
|
|||||||||||
Short-term borrowings
(5)
|
—
|
|
17
|
|
—
|
|
—
|
|
—
|
|
(52
|
)
|
10
|
|
(24
|
)
|
19
|
|
(30
|
)
|
1
|
|
|||||||||||
Accrued expenses and other liabilities
(5)
|
(10
|
)
|
1
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(9
|
)
|
1
|
|
|||||||||||
Long-term debt
(5)
|
(2,362
|
)
|
287
|
|
19
|
|
616
|
|
—
|
|
(188
|
)
|
273
|
|
(1,592
|
)
|
1,434
|
|
(1,513
|
)
|
255
|
|
(1)
|
Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3.
|
(2)
|
Includes gains/losses reported in earnings in the following income statement line items: Trading account assets/liabilities - trading account profits (losses); Net derivative assets - primarily trading account profits (losses) and mortgage banking income (loss); Mortgage servicing rights - primarily mortgage banking income (loss); Long-term debt - primarily trading account profits (losses).
|
(3)
|
Includes gains/losses in OCI related to unrealized gains/losses on AFS debt securities, foreign currency translation adjustments and the impact of changes in the Corporation’s credit spreads on long-term debt accounted for under the fair value option.
|
(4)
|
Net derivatives include derivative assets of
$5.1 billion
and derivative liabilities of
$5.6 billion
.
|
(5)
|
Amounts represent instruments that are accounted for under the fair value option.
|
(6)
|
Issuances represent loan originations and MSRs retained following securitizations or whole-loan sales.
|
|
|
Bank of America 2016
201
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
Level 3 – Fair Value Measurements
(1)
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
|
2014
|
|
|||||||||||||||||||||||||||||||
|
|
|
|
Gross
|
|
|
|
|
|||||||||||||||||||||||||
(Dollars in millions)
|
Balance
January 1
2014
|
Total Realized/Unrealized Gains/(Losses)
(2)
|
Gains
(Losses)
in OCI
(3)
|
Purchases
|
Sales
|
Issuances
|
Settlements
|
Gross Transfers
into
Level 3
|
Gross Transfers
out of
Level 3
|
Balance
December 31
2014
|
Change in Unrealized Gains/(Losses) Related to Financial Instruments Still Held
(2)
|
||||||||||||||||||||||
Trading account assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
U.S. government and agency securities
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
$
|
87
|
|
$
|
(87
|
)
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
Corporate securities, trading loans and other
|
3,559
|
|
180
|
|
—
|
|
1,675
|
|
(857
|
)
|
—
|
|
(938
|
)
|
1,275
|
|
(1,624
|
)
|
3,270
|
|
69
|
|
|||||||||||
Equity securities
|
386
|
|
—
|
|
—
|
|
104
|
|
(86
|
)
|
—
|
|
(16
|
)
|
146
|
|
(182
|
)
|
352
|
|
(8
|
)
|
|||||||||||
Non-U.S. sovereign debt
|
468
|
|
30
|
|
—
|
|
120
|
|
(34
|
)
|
—
|
|
(19
|
)
|
11
|
|
(2
|
)
|
574
|
|
31
|
|
|||||||||||
Mortgage trading loans, ABS and other MBS
|
4,631
|
|
199
|
|
—
|
|
1,643
|
|
(1,259
|
)
|
—
|
|
(585
|
)
|
39
|
|
(2,605
|
)
|
2,063
|
|
79
|
|
|||||||||||
Total trading account assets
|
9,044
|
|
409
|
|
—
|
|
3,629
|
|
(2,323
|
)
|
—
|
|
(1,558
|
)
|
1,471
|
|
(4,413
|
)
|
6,259
|
|
171
|
|
|||||||||||
Net derivative assets
(4)
|
(224
|
)
|
463
|
|
—
|
|
823
|
|
(1,738
|
)
|
—
|
|
(432
|
)
|
28
|
|
160
|
|
(920
|
)
|
(87
|
)
|
|||||||||||
AFS debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Non-agency residential MBS
|
—
|
|
(2
|
)
|
—
|
|
11
|
|
—
|
|
—
|
|
—
|
|
270
|
|
—
|
|
279
|
|
—
|
|
|||||||||||
Non-U.S. securities
|
107
|
|
(7
|
)
|
(11
|
)
|
241
|
|
—
|
|
—
|
|
(147
|
)
|
—
|
|
(173
|
)
|
10
|
|
—
|
|
|||||||||||
Other taxable securities
|
3,847
|
|
9
|
|
(8
|
)
|
154
|
|
—
|
|
—
|
|
(1,381
|
)
|
93
|
|
(1,047
|
)
|
1,667
|
|
—
|
|
|||||||||||
Tax-exempt securities
|
806
|
|
8
|
|
—
|
|
—
|
|
(16
|
)
|
—
|
|
(235
|
)
|
36
|
|
—
|
|
599
|
|
—
|
|
|||||||||||
Total AFS debt securities
|
4,760
|
|
8
|
|
(19
|
)
|
406
|
|
(16
|
)
|
—
|
|
(1,763
|
)
|
399
|
|
(1,220
|
)
|
2,555
|
|
—
|
|
|||||||||||
Loans and leases
(5, 6)
|
3,057
|
|
69
|
|
—
|
|
—
|
|
(3
|
)
|
699
|
|
(1,591
|
)
|
25
|
|
(273
|
)
|
1,983
|
|
76
|
|
|||||||||||
Mortgage servicing rights
(6)
|
5,042
|
|
(1,231
|
)
|
—
|
|
—
|
|
(61
|
)
|
707
|
|
(927
|
)
|
—
|
|
—
|
|
3,530
|
|
(1,753
|
)
|
|||||||||||
Loans held-for-sale
(5)
|
929
|
|
45
|
|
—
|
|
59
|
|
(725
|
)
|
23
|
|
(216
|
)
|
83
|
|
(25
|
)
|
173
|
|
(4
|
)
|
|||||||||||
Other assets
|
1,669
|
|
(98
|
)
|
—
|
|
—
|
|
(430
|
)
|
—
|
|
(245
|
)
|
39
|
|
(24
|
)
|
911
|
|
52
|
|
|||||||||||
Trading account liabilities – Corporate securities and other
|
(35
|
)
|
1
|
|
—
|
|
10
|
|
(13
|
)
|
—
|
|
—
|
|
(9
|
)
|
10
|
|
(36
|
)
|
1
|
|
|||||||||||
Accrued expenses and other liabilities
(5)
|
(10
|
)
|
2
|
|
—
|
|
—
|
|
—
|
|
(3
|
)
|
—
|
|
—
|
|
1
|
|
(10
|
)
|
1
|
|
|||||||||||
Long-term debt
(5)
|
(1,990
|
)
|
49
|
|
—
|
|
169
|
|
—
|
|
(615
|
)
|
540
|
|
(1,581
|
)
|
1,066
|
|
(2,362
|
)
|
(8
|
)
|
(1)
|
Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3.
|
(2)
|
Includes gains/losses reported in earnings in the following income statement line items: Trading account assets/liabilities - trading account profits (losses); Net derivative assets - trading account profits (losses), mortgage banking income (loss) and other income (loss); Mortgage servicing rights - primarily mortgage banking income (loss); Long-term debt - trading account profits (losses) and other income (loss).
|
(3)
|
Includes gains/losses in OCI related to unrealized gains/losses on AFS debt securities.
|
(4)
|
Net derivatives include derivative assets of
$6.9 billion
and derivative liabilities of
$7.8 billion
.
|
(5)
|
Amounts represent instruments that are accounted for under the fair value option.
|
(6)
|
Issuances represent loan originations and MSRs retained following securitizations or whole-loan sales.
|
202
Bank of America 2016
|
|
|
|
|
|
|
|
|
||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2016
|
|
||||||||
|
|
|
|
|
|||||
(Dollars in millions)
|
|
|
Inputs
|
||||||
Financial Instrument
|
Fair
Value
|
Valuation
Technique
|
Significant Unobservable
Inputs
|
Ranges of
Inputs
|
Weighted Average
|
||||
Loans and Securities
(1)
|
|
|
|
|
|
||||
Instruments backed by residential real estate assets
|
$
|
1,066
|
|
Discounted cash flow, Market comparables
|
Yield
|
0% to 50%
|
|
7
|
%
|
Trading account assets – Mortgage trading loans, ABS and other MBS
|
337
|
|
Prepayment speed
|
0% to 27% CPR
|
|
14
|
%
|
||
Loans and leases
|
718
|
|
Default rate
|
0% to 3% CDR
|
|
2
|
%
|
||
Loans held-for-sale
|
11
|
|
Loss severity
|
0% to 54%
|
|
18
|
%
|
||
Instruments backed by commercial real estate assets
|
$
|
317
|
|
Discounted cash flow, Market comparables
|
Yield
|
0% to 39%
|
|
11
|
%
|
Trading account assets – Corporate securities, trading loans and other
|
178
|
|
Price
|
$0 to $100
|
|
$65
|
|||
Trading account assets – Mortgage trading loans, ABS and other MBS
|
53
|
|
|
|
|
||||
Loans held-for-sale
|
86
|
|
|
|
|
||||
Commercial loans, debt securities and other
|
$
|
4,486
|
|
Discounted cash flow, Market comparables
|
Yield
|
1% to 37%
|
|
14
|
%
|
Trading account assets – Corporate securities, trading loans and other
|
2,565
|
|
Prepayment speed
|
5% to 20%
|
|
19
|
%
|
||
Trading account assets – Non-U.S. sovereign debt
|
510
|
|
Default rate
|
3% to 4%
|
|
4
|
%
|
||
Trading account assets – Mortgage trading loans, ABS and other MBS
|
821
|
|
Loss severity
|
0% to 50%
|
|
19
|
%
|
||
AFS debt securities – Other taxable securities
|
29
|
|
Price
|
$0 to $292
|
|
$68
|
|||
Loans and leases
|
2
|
|
Duration
|
0 to 5 years
|
|
3 years
|
|||
Loans held-for-sale
|
559
|
|
Enterprise value/EBITDA multiple
|
34x
|
|
n/a
|
|||
Auction rate securities
|
$
|
1,141
|
|
Discounted cash flow, Market comparables
|
Price
|
$10 to $100
|
|
$94
|
|
Trading account assets – Corporate securities, trading loans and other
|
34
|
|
|
|
|
||||
AFS debt securities – Other taxable securities
|
565
|
|
|
|
|
||||
AFS debt securities – Tax-exempt securities
|
542
|
|
|
|
|
||||
MSRs
|
$
|
2,747
|
|
Discounted cash flow, Market comparables
|
Weighted-average life, fixed rate
(4)
|
0 to 15 years
|
|
6 years
|
|
|
|
Weighted-average life, variable rate
(4)
|
0 to 14 years
|
|
4 years
|
|
|||
|
|
Option Adjusted Spread, fixed rate
|
9% to 14%
|
|
10
|
%
|
|||
|
|
Option Adjusted Spread, variable rate
|
9% to 15%
|
|
12
|
%
|
|||
Structured liabilities
|
|
|
|
|
|
||||
Long-term debt
|
$
|
(1,514
|
)
|
Discounted cash flow, Market comparables, Industry standard derivative pricing
(2)
|
Equity correlation
|
13% to 100%
|
|
68
|
%
|
|
|
Long-dated equity volatilities
|
4% to 76%
|
|
26
|
%
|
|||
|
|
Yield
|
6% to 37%
|
|
20
|
%
|
|||
|
|
Price
|
$12 to $87
|
|
$73
|
||||
|
|
Duration
|
0 to 5 years
|
|
3 years
|
||||
Net derivative assets
|
|
|
|
|
|
||||
Credit derivatives
|
$
|
(129
|
)
|
Discounted cash flow, Stochastic recovery correlation model
|
Yield
|
0% to 24%
|
|
13
|
%
|
|
|
Upfront points
|
0 points to 100 points
|
|
72 points
|
|
|||
|
|
Credit spreads
|
17 bps to 814 bps
|
|
248 bps
|
|
|||
|
|
Credit correlation
|
21% to 80%
|
|
44
|
%
|
|||
|
|
Prepayment speed
|
10% to 20% CPR
|
|
18
|
%
|
|||
|
|
Default rate
|
1% to 4% CDR
|
|
3
|
%
|
|||
|
|
Loss severity
|
35
|
%
|
n/a
|
|
|||
Equity derivatives
|
$
|
(1,690
|
)
|
Industry standard derivative pricing
(2)
|
Equity correlation
|
13% to 100%
|
|
68
|
%
|
|
|
Long-dated equity volatilities
|
4% to 76%
|
|
26
|
%
|
|||
Commodity derivatives
|
$
|
6
|
|
Discounted cash flow, Industry standard derivative pricing
(2)
|
Natural gas forward price
|
$2/MMBtu to $6/MMBtu
|
|
$4/MMBtu
|
|
|
|
Correlation
|
66% to 95%
|
|
85
|
%
|
|||
|
|
Volatilities
|
23% to 96%
|
|
36
|
%
|
|||
Interest rate derivatives
|
$
|
500
|
|
Industry standard derivative pricing
(3)
|
Correlation (IR/IR)
|
15% to 99%
|
|
56
|
%
|
|
|
Correlation (FX/IR)
|
0% to 40%
|
|
2
|
%
|
|||
|
|
Illiquid IR and long-dated inflation rates
|
-12% to 35%
|
|
5
|
%
|
|||
|
|
Long-dated inflation volatilities
|
0% to 2%
|
|
1
|
%
|
|||
Total net derivative assets
|
$
|
(1,313
|
)
|
|
|
|
|
(1)
|
The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page
200
: Trading account assets – Corporate securities, trading loans and other of
$2.8 billion
, Trading account assets – Non-U.S. sovereign debt of
$510 million
, Trading account assets – Mortgage trading loans, ABS and other MBS of
$1.2 billion
, AFS debt securities – Other taxable securities of
$594 million
, AFS debt securities – Tax-exempt securities of
$542 million
, Loans and leases of
$720 million
and LHFS of
$656 million
.
|
(2)
|
Includes models such as Monte Carlo simulation and Black-Scholes.
|
(3)
|
Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates.
|
(4)
|
The weighted-average life is a product of changes in market rates of interest, prepayment rates and other model and cash flow assumptions.
|
|
|
Bank of America 2016
203
|
|
|
|
|
|
|
|||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2015
|
||||||||
|
|
|
|
|
||||
(Dollars in millions)
|
|
|
Inputs
|
|||||
Financial Instrument
|
Fair
Value |
Valuation
Technique |
Significant Unobservable
Inputs |
Ranges of
Inputs |
Weighted Average
|
|||
Loans and Securities
(1)
|
|
|
|
|
|
|||
Instruments backed by residential real estate assets
|
$
|
2,017
|
|
Discounted cash flow, Market comparables
|
Yield
|
0% to 25%
|
6
|
%
|
Trading account assets – Mortgage trading loans, ABS and other MBS
|
400
|
|
Prepayment speed
|
0% to 27% CPR
|
11
|
%
|
||
Loans and leases
|
1,520
|
|
Default rate
|
0% to 10% CDR
|
4
|
%
|
||
Loans held-for-sale
|
97
|
|
Loss severity
|
0% to 90%
|
40
|
%
|
||
Instruments backed by commercial real estate assets
|
$
|
852
|
|
Discounted cash flow, Market comparables
|
Yield
|
0% to 25%
|
8
|
%
|
Trading account assets – Mortgage trading loans, ABS and other MBS
|
162
|
|
Price
|
$0 to $100
|
$73
|
|||
Loans held-for-sale
|
690
|
|
|
|
|
|||
Commercial loans, debt securities and other
|
$
|
4,558
|
|
Discounted cash flow, Market comparables
|
Yield
|
0% to 37%
|
13
|
%
|
Trading account assets – Corporate securities, trading loans and other
|
2,503
|
|
Prepayment speed
|
5% to 20%
|
16
|
%
|
||
Trading account assets – Non-U.S. sovereign debt
|
521
|
|
Default rate
|
2% to 5%
|
4
|
%
|
||
Trading account assets – Mortgage trading loans, ABS and other MBS
|
1,306
|
|
Loss severity
|
25% to 50%
|
37
|
%
|
||
AFS debt securities – Other taxable securities
|
128
|
|
Duration
|
0 to 5 years
|
3 years
|
|
||
Loans and leases
|
100
|
|
Price
|
$0 to $258
|
$64
|
|||
Auction rate securities
|
$
|
1,533
|
|
Discounted cash flow, Market comparables
|
Price
|
$10 to $100
|
$94
|
|
Trading account assets – Corporate securities, trading loans and other
|
335
|
|
|
|
||||
AFS debt securities – Other taxable securities
|
629
|
|
|
|
|
|||
AFS debt securities – Tax-exempt securities
|
569
|
|
|
|
|
|||
MSRs
|
$
|
3,087
|
|
Discounted cash flow, Market comparables
|
Weighted-average life, fixed rate
(4)
|
0 to 15 years
|
4 years
|
|
|
|
Weighted-average life, variable rate
(4)
|
0 to 16 years
|
3 years
|
|
|||
|
|
Option Adjusted Spread, fixed rate
|
3% to 11%
|
5
|
%
|
|||
|
|
Option Adjusted Spread, variable rate
|
3% to 11%
|
8
|
%
|
|||
Structured liabilities
|
|
|
|
|
|
|||
Long-term debt
|
$
|
(1,513
|
)
|
Industry standard derivative pricing
(3)
|
Equity correlation
|
25% to 100%
|
67
|
%
|
|
|
Long-dated equity volatilities
|
4% to 101%
|
28
|
%
|
|||
Net derivative assets
|
|
|
|
|
|
|||
Credit derivatives
|
$
|
(75
|
)
|
Discounted cash flow, Stochastic recovery correlation model
|
Yield
|
6% to 25%
|
16
|
%
|
|
|
Upfront points
|
0 to 100 points
|
60 points
|
|
|||
|
|
Credit spreads
|
0 bps to 447 bps
|
111 bps
|
|
|||
|
|
Credit correlation
|
31% to 99%
|
38
|
%
|
|||
|
|
Prepayment speed
|
10% to 20% CPR
|
19
|
%
|
|||
|
|
Default rate
|
1% to 4% CDR
|
3
|
%
|
|||
|
|
Loss severity
|
35% to 40%
|
35
|
%
|
|||
Equity derivatives
|
$
|
(1,037
|
)
|
Industry standard derivative pricing
(2)
|
Equity correlation
|
25% to 100%
|
67
|
%
|
|
|
Long-dated equity volatilities
|
4% to 101%
|
28
|
%
|
|||
Commodity derivatives
|
$
|
169
|
|
Discounted cash flow, Industry standard derivative pricing
(2)
|
Natural gas forward price
|
$1/MMBtu to $6/MMBtu
|
$4/MMBtu
|
|
|
|
Propane forward price
|
$0/Gallon to $1/Gallon
|
$1/Gallon
|
|
|||
|
|
Correlation
|
66% to 93%
|
84
|
%
|
|||
|
|
Volatilities
|
18% to 125%
|
39
|
%
|
|||
Interest rate derivatives
|
$
|
502
|
|
Industry standard derivative pricing
(3)
|
Correlation (IR/IR)
|
17% to 99%
|
48
|
%
|
|
|
Correlation (FX/IR)
|
-15% to 40%
|
-9
|
%
|
|||
|
|
Long-dated inflation rates
|
0% to 7%
|
3
|
%
|
|||
|
|
Long-dated inflation volatilities
|
0% to 2%
|
1
|
%
|
|||
Total net derivative assets
|
$
|
(441
|
)
|
|
|
|
|
(1)
|
The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page
201
: Trading account assets – Corporate securities, trading loans and other of
$2.8 billion
, Trading account assets – Non-U.S. sovereign debt of
$521 million
, Trading account assets – Mortgage trading loans, ABS and other MBS of
$1.9 billion
, AFS debt securities – Other taxable securities of
$757 million
, AFS debt securities – Tax-exempt securities of
$569 million
, Loans and leases of
$1.6 billion
and LHFS of
$787 million
.
|
(2)
|
Includes models such as Monte Carlo simulation and Black-Scholes.
|
(3)
|
Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates.
|
(4)
|
The weighted-average life is a product of changes in market rates of interest, prepayment rates and other model and cash flow assumptions.
|
204
Bank of America 2016
|
|
|
|
|
Bank of America 2016
205
|
|
|
|
|
|
|
|
|
||||||||
Assets Measured at Fair Value on a Nonrecurring Basis
|
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31
|
||||||||||||||
|
2016
|
|
2015
|
||||||||||||
(Dollars in millions)
|
Level 2
|
|
Level 3
|
|
Level 2
|
|
Level 3
|
||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|||||
Loans held-for-sale
|
$
|
193
|
|
|
$
|
44
|
|
|
$
|
9
|
|
|
$
|
33
|
|
Loans and leases
(1)
|
—
|
|
|
1,416
|
|
|
34
|
|
|
2,739
|
|
||||
Foreclosed properties
(2, 3)
|
—
|
|
|
77
|
|
|
—
|
|
|
172
|
|
||||
Other assets
|
358
|
|
|
—
|
|
|
88
|
|
|
—
|
|
||||
|
|
|
|
|
|
|
|
||||||||
|
|
|
Gains (Losses)
|
||||||||||||
|
|
|
2016
|
|
2015
|
|
2014
|
||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|||||
Loans held-for-sale
|
|
|
$
|
(54
|
)
|
|
$
|
(8
|
)
|
|
$
|
(19
|
)
|
||
Loans and leases
(1)
|
|
|
(458
|
)
|
|
(993
|
)
|
|
(1,152
|
)
|
|||||
Foreclosed properties
|
|
|
(41
|
)
|
|
(57
|
)
|
|
(66
|
)
|
|||||
Other assets
|
|
|
(74
|
)
|
|
(28
|
)
|
|
(26
|
)
|
(1)
|
Includes
$150 million
of losses on loans that were written down to a collateral value of zero during
2016
compared to losses of
$174 million
and
$370 million
in
2015
and
2014
.
|
(2)
|
Amounts are included in other assets on the Consolidated Balance Sheet and represent the carrying value of foreclosed properties that were written down subsequent to their initial classification as foreclosed properties. Losses on foreclosed properties include losses taken during the first 90 days after transfer of a loan to foreclosed properties.
|
(3)
|
Excludes
$1.2 billion
and
$1.4 billion
of properties acquired upon foreclosure of certain government-guaranteed loans (principally FHA-insured loans) as of
December 31, 2016 and 2015
.
|
|
|
|
|
|
|
|||
Quantitative Information about Nonrecurring Level 3 Fair Value Measurements
|
||||||||
|
|
|
|
|
|
|||
|
December 31, 2016
|
|||||||
(Dollars in millions)
|
|
|
Inputs
|
|||||
Financial Instrument
|
Fair Value
|
Valuation
Technique
|
Significant Unobservable
Inputs
|
Ranges of
Inputs
|
Weighted Average
|
|||
Loans and leases backed by residential real estate assets
|
$
|
1,416
|
|
Market comparables
|
OREO discount
|
8% to 56%
|
21
|
%
|
|
|
|
Cost to sell
|
7% to 45%
|
9
|
%
|
|
December 31, 2015
|
|||||||
Loans and leases backed by residential real estate assets
|
$
|
2,739
|
|
Market comparables
|
OREO discount
|
7% to 55%
|
20
|
%
|
|
|
|
Cost to sell
|
8% to 45%
|
10
|
%
|
206
Bank of America 2016
|
|
|
|
|
Bank of America 2016
207
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Fair Value Option Elections
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
December 31
|
||||||||||||||||||||||
|
2016
|
|
2015
|
||||||||||||||||||||
(Dollars in millions)
|
Fair Value Carrying Amount
|
|
Contractual Principal Outstanding
|
|
Fair Value Carrying Amount Less Unpaid Principal
|
|
Fair Value Carrying Amount
|
|
Contractual Principal Outstanding
|
|
Fair Value Carrying Amount Less Unpaid Principal
|
||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
$
|
49,750
|
|
|
$
|
49,615
|
|
|
$
|
135
|
|
|
$
|
55,143
|
|
|
$
|
54,999
|
|
|
$
|
144
|
|
Loans reported as trading account assets
(1)
|
6,215
|
|
|
11,557
|
|
|
(5,342
|
)
|
|
4,995
|
|
|
9,214
|
|
|
(4,219
|
)
|
||||||
Trading inventory – other
|
8,206
|
|
|
n/a
|
|
|
n/a
|
|
|
8,149
|
|
|
n/a
|
|
|
n/a
|
|
||||||
Consumer and commercial loans
|
7,085
|
|
|
7,190
|
|
|
(105
|
)
|
|
6,938
|
|
|
7,293
|
|
|
(355
|
)
|
||||||
Loans held-for-sale
|
4,026
|
|
|
5,595
|
|
|
(1,569
|
)
|
|
4,818
|
|
|
6,157
|
|
|
(1,339
|
)
|
||||||
Other assets
|
253
|
|
|
250
|
|
|
3
|
|
|
275
|
|
|
270
|
|
|
5
|
|
||||||
Long-term deposits
|
731
|
|
|
672
|
|
|
59
|
|
|
1,116
|
|
|
1,021
|
|
|
95
|
|
||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
35,766
|
|
|
35,929
|
|
|
(163
|
)
|
|
24,574
|
|
|
24,718
|
|
|
(144
|
)
|
||||||
Short-term borrowings
|
2,024
|
|
|
2,024
|
|
|
—
|
|
|
1,325
|
|
|
1,325
|
|
|
—
|
|
||||||
Unfunded loan commitments
|
173
|
|
|
n/a
|
|
|
n/a
|
|
|
658
|
|
|
n/a
|
|
|
n/a
|
|
||||||
Long-term debt
(2)
|
30,037
|
|
|
29,862
|
|
|
175
|
|
|
30,097
|
|
|
30,593
|
|
|
(496
|
)
|
(1)
|
A significant portion of the loans reported as trading account assets are distressed loans which trade and were purchased at a deep discount to par, and the remainder are loans with a fair value near contractual principal outstanding.
|
(2)
|
Includes structured liabilities with a fair value of
$29.7 billion
and
$29.0 billion
, and contractual principal outstanding of
$29.5 billion
and
$29.4 billion
at
December 31, 2016 and 2015
.
|
208
Bank of America 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option
|
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
2016
|
||||||||||||||
(Dollars in millions)
|
Trading Account Profits (Losses)
|
|
Mortgage Banking Income
(Loss)
|
|
Other
Income
(Loss)
|
|
Total
|
||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
$
|
(64
|
)
|
|
$
|
—
|
|
|
$
|
1
|
|
|
$
|
(63
|
)
|
Loans reported as trading account assets
|
301
|
|
|
—
|
|
|
—
|
|
|
301
|
|
||||
Trading inventory – other
(1)
|
57
|
|
|
—
|
|
|
—
|
|
|
57
|
|
||||
Consumer and commercial loans
|
49
|
|
|
—
|
|
|
(37
|
)
|
|
12
|
|
||||
Loans held-for-sale
(2)
|
11
|
|
|
518
|
|
|
6
|
|
|
535
|
|
||||
Other assets
|
—
|
|
|
—
|
|
|
20
|
|
|
20
|
|
||||
Long-term deposits
|
1
|
|
|
—
|
|
|
32
|
|
|
33
|
|
||||
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
(22
|
)
|
|
—
|
|
|
—
|
|
|
(22
|
)
|
||||
Unfunded loan commitments
|
—
|
|
|
—
|
|
|
487
|
|
|
487
|
|
||||
Long-term debt
(3, 4)
|
(489
|
)
|
|
—
|
|
|
(97
|
)
|
|
(586
|
)
|
||||
Total
|
$
|
(156
|
)
|
|
$
|
518
|
|
|
$
|
412
|
|
|
$
|
774
|
|
|
|
|
|
|
|
|
|
||||||||
|
2015
|
||||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
$
|
(195
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(195
|
)
|
Loans reported as trading account assets
|
(199
|
)
|
|
—
|
|
|
—
|
|
|
(199
|
)
|
||||
Trading inventory – other
(1)
|
1,284
|
|
|
—
|
|
|
—
|
|
|
1,284
|
|
||||
Consumer and commercial loans
|
52
|
|
|
—
|
|
|
(295
|
)
|
|
(243
|
)
|
||||
Loans held-for-sale
(2)
|
(36
|
)
|
|
673
|
|
|
63
|
|
|
700
|
|
||||
Other assets
|
—
|
|
|
—
|
|
|
10
|
|
|
10
|
|
||||
Long-term deposits
|
1
|
|
|
—
|
|
|
13
|
|
|
14
|
|
||||
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
33
|
|
|
—
|
|
|
—
|
|
|
33
|
|
||||
Short-term borrowings
|
3
|
|
|
—
|
|
|
—
|
|
|
3
|
|
||||
Unfunded loan commitments
|
—
|
|
|
—
|
|
|
(210
|
)
|
|
(210
|
)
|
||||
Long-term debt
(3, 4)
|
2,107
|
|
|
—
|
|
|
(633
|
)
|
|
1,474
|
|
||||
Total
|
$
|
3,050
|
|
|
$
|
673
|
|
|
$
|
(1,052
|
)
|
|
$
|
2,671
|
|
|
|
|
|
|
|
|
|
||||||||
|
2014
|
||||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell
|
$
|
(114
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(114
|
)
|
Loans reported as trading account assets
|
(87
|
)
|
|
—
|
|
|
—
|
|
|
(87
|
)
|
||||
Trading inventory – other
(1)
|
1,091
|
|
|
—
|
|
|
—
|
|
|
1,091
|
|
||||
Consumer and commercial loans
|
(24
|
)
|
|
—
|
|
|
69
|
|
|
45
|
|
||||
Loans held-for-sale
(2)
|
(56
|
)
|
|
798
|
|
|
83
|
|
|
825
|
|
||||
Long-term deposits
|
23
|
|
|
—
|
|
|
(26
|
)
|
|
(3
|
)
|
||||
Federal funds purchased and securities loaned or sold under agreements to repurchase
|
4
|
|
|
—
|
|
|
—
|
|
|
4
|
|
||||
Short-term borrowings
|
52
|
|
|
—
|
|
|
—
|
|
|
52
|
|
||||
Unfunded loan commitments
|
—
|
|
|
—
|
|
|
(64
|
)
|
|
(64
|
)
|
||||
Long-term debt
(3)
|
239
|
|
|
—
|
|
|
407
|
|
|
646
|
|
||||
Total
|
$
|
1,128
|
|
|
$
|
798
|
|
|
$
|
469
|
|
|
$
|
2,395
|
|
(1)
|
The gains (losses) in trading account profits (losses) are primarily offset by gains (losses) on trading liabilities that hedge these assets.
|
(2)
|
Includes the value of IRLCs on funded loans, including those sold during the period.
|
(3)
|
The majority of the net gains (losses) in trading account profits relate to the embedded derivative in structured liabilities and are offset by gains (losses) on derivatives and securities that hedge these liabilities. In connection with the implementation of new accounting guidance in 2015 relating to DVA on structured liabilities accounted for under the fair value option, unrealized DVA gains (losses) in 2016 and 2015 are recorded in accumulated OCI while realized gains (losses) are recorded in other income (loss); for 2014, the realized and unrealized gains (losses) are reflected in other income (loss). For more information on the implementation of new accounting guidance, see
Note 1 – Summary of Significant Accounting Principles
.
|
(4)
|
For the cumulative impact of changes in the Corporation’s own credit spreads and the amount recognized in OCI, see
Note 14 – Accumulated Other Comprehensive Income (Loss)
. For more information on how the Corporation’s own credit spread is determined, see
Note 20 – Fair Value Measurements
.
|
|
|
Bank of America 2016
209
|
|
|
|
|
|
|
|
|
||||||||
Fair Value of Financial Instruments
|
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2016
|
||||||||||||||
|
|
|
Fair Value
|
||||||||||||
(Dollars in millions)
|
Carrying Value
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Financial assets
|
|
|
|
|
|
|
|
||||||||
Loans
|
$
|
873,209
|
|
|
$
|
71,793
|
|
|
$
|
815,329
|
|
|
$
|
887,122
|
|
Loans held-for-sale
|
9,066
|
|
|
8,082
|
|
|
984
|
|
|
9,066
|
|
||||
Financial liabilities
|
|
|
|
|
|
|
|
||||||||
Deposits
|
1,260,934
|
|
|
1,261,086
|
|
|
—
|
|
|
1,261,086
|
|
||||
Long-term debt
|
216,823
|
|
|
220,071
|
|
|
1,514
|
|
|
221,585
|
|
||||
|
|
|
|
|
|
|
|
||||||||
|
December 31, 2015
|
||||||||||||||
Financial assets
|
|
|
|
|
|
|
|
||||||||
Loans
|
$
|
863,561
|
|
|
$
|
70,223
|
|
|
$
|
805,371
|
|
|
$
|
875,594
|
|
Loans held-for-sale
|
7,453
|
|
|
5,347
|
|
|
2,106
|
|
|
7,453
|
|
||||
Financial liabilities
|
|
|
|
|
|
|
|
|
|
||||||
Deposits
|
1,197,259
|
|
|
1,197,577
|
|
|
—
|
|
|
1,197,577
|
|
||||
Long-term debt
|
236,764
|
|
|
239,596
|
|
|
1,513
|
|
|
241,109
|
|
210
Bank of America 2016
|
|
|
|
|
|
|
||||
Rollforward of Mortgage Servicing Rights
|
|||||||
|
|
|
|
||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Balance, January 1
|
$
|
3,087
|
|
|
$
|
3,530
|
|
Additions
|
411
|
|
|
637
|
|
||
Sales
|
(80
|
)
|
|
(393
|
)
|
||
Amortization of expected cash flows
(1)
|
(820
|
)
|
|
(874
|
)
|
||
Changes in fair value due to changes in inputs and assumptions
(2)
|
149
|
|
|
187
|
|
||
Balance, December 31
(3)
|
$
|
2,747
|
|
|
$
|
3,087
|
|
Mortgage loans serviced for investors (in billions)
|
$
|
326
|
|
|
$
|
394
|
|
(1)
|
Represents the net change in fair value of the MSR asset due to the recognition of modeled cash flows and the passage of time.
|
(2)
|
These amounts reflect the changes in modeled MSR fair value due to observed changes in interest rates, volatility, spreads, and the shape of the forward swap curve; periodic adjustments to valuation based on third-party price discovery; and periodic adjustments to the valuation model and other cash flow assumptions.
|
(3)
|
At
December 31, 2016
, includes the
$2.1 billion
core MSR portfolio held in
Consumer Banking
, the
$212 million
non-core MSR portfolio held in
All Other
and the
$469 million
non-U.S. MSR portfolio held in
Global Markets
compared to
$2.3 billion
,
$355 million
and
$407 million
at
December 31, 2015
, respectively.
|
|
|
Bank of America 2016
211
|
212
Bank of America 2016
|
|
|
(1)
|
There were no material intersegment revenues.
|
(2)
|
Adjustments include consolidated income, expense and asset amounts not specifically allocated to individual business segments.
|
(3)
|
Includes assets of the non-U.S. consumer credit card business which are included in assets of business held for sale on the Consolidated Balance Sheet.
|
|
|
Bank of America 2016
213
|
|
|
|
|
|
|
||||||
Condensed Statement of Income
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Income
|
|
|
|
|
|
|
|
|
|||
Dividends from subsidiaries:
|
|
|
|
|
|
|
|
|
|||
Bank holding companies and related subsidiaries
|
$
|
4,127
|
|
|
$
|
18,970
|
|
|
$
|
12,400
|
|
Nonbank companies and related subsidiaries
|
77
|
|
|
53
|
|
|
149
|
|
|||
Interest from subsidiaries
|
2,996
|
|
|
2,004
|
|
|
1,836
|
|
|||
Other income (loss)
|
111
|
|
|
(623
|
)
|
|
72
|
|
|||
Total income
|
7,311
|
|
|
20,404
|
|
|
14,457
|
|
|||
Expense
|
|
|
|
|
|
|
|
|
|||
Interest on borrowed funds from related subsidiaries
|
969
|
|
|
1,169
|
|
|
1,661
|
|
|||
Other interest expense
|
5,096
|
|
|
5,098
|
|
|
5,552
|
|
|||
Noninterest expense
|
2,572
|
|
|
4,747
|
|
|
4,471
|
|
|||
Total expense
|
8,637
|
|
|
11,014
|
|
|
11,684
|
|
|||
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries
|
(1,326
|
)
|
|
9,390
|
|
|
2,773
|
|
|||
Income tax benefit
|
(2,263
|
)
|
|
(3,574
|
)
|
|
(4,079
|
)
|
|||
Income before equity in undistributed earnings of subsidiaries
|
937
|
|
|
12,964
|
|
|
6,852
|
|
|||
Equity in undistributed earnings (losses) of subsidiaries:
|
|
|
|
|
|
|
|
|
|||
Bank holding companies and related subsidiaries
|
16,817
|
|
|
3,068
|
|
|
4,300
|
|
|||
Nonbank companies and related subsidiaries
|
152
|
|
|
(196
|
)
|
|
(5,632
|
)
|
|||
Total equity in undistributed earnings (losses) of subsidiaries
|
16,969
|
|
|
2,872
|
|
|
(1,332
|
)
|
|||
Net income
|
$
|
17,906
|
|
|
$
|
15,836
|
|
|
$
|
5,520
|
|
|
|
|
|
||||
Condensed Balance Sheet
|
|
|
|
||||
|
|
|
|
||||
|
December 31
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
||||
Assets
|
|
|
|
|
|
||
Cash held at bank subsidiaries
(1)
|
$
|
20,248
|
|
|
$
|
98,024
|
|
Securities
|
909
|
|
|
937
|
|
||
Receivables from subsidiaries:
|
|
|
|
|
|||
Bank holding companies and related subsidiaries
|
117,072
|
|
|
23,594
|
|
||
Banks and related subsidiaries
|
171
|
|
|
569
|
|
||
Nonbank companies and related subsidiaries
|
26,500
|
|
|
56,426
|
|
||
Investments in subsidiaries:
|
|
|
|
|
|
||
Bank holding companies and related subsidiaries
|
287,416
|
|
|
272,567
|
|
||
Nonbank companies and related subsidiaries
|
6,875
|
|
|
2,402
|
|
||
Other assets
|
10,672
|
|
|
9,360
|
|
||
Total assets
(2)
|
$
|
469,863
|
|
|
$
|
463,879
|
|
Liabilities and shareholders’ equity
|
|
|
|
|
|
||
Short-term borrowings
|
$
|
—
|
|
|
$
|
15
|
|
Accrued expenses and other liabilities
|
13,273
|
|
|
13,900
|
|
||
Payables to subsidiaries:
|
|
|
|
|
|
||
Banks and related subsidiaries
|
352
|
|
|
465
|
|
||
Bank holding companies and related subsidiaries
|
4,013
|
|
|
—
|
|
||
Nonbank companies and related subsidiaries
|
12,010
|
|
|
13,921
|
|
||
Long-term debt
|
173,375
|
|
|
179,402
|
|
||
Total liabilities
|
203,023
|
|
|
207,703
|
|
||
Shareholders’ equity
|
266,840
|
|
|
256,176
|
|
||
Total liabilities and shareholders’ equity
|
$
|
469,863
|
|
|
$
|
463,879
|
|
(1)
|
Balance includes third-party cash held of $
342 million
and $
28 million
at
December 31, 2016 and 2015
.
|
(2)
|
During 2016, the Corporation entered into intercompany arrangements with certain key subsidiaries under which the Corporation transferred certain parent company assets to NB Holdings, Inc.
|
214
Bank of America 2016
|
|
|
|
|
|
|
|
|
||||||
Condensed Statement of Cash Flows
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
||||||
Operating activities
|
|
|
|
|
|
|
|
|
|||
Net income
|
$
|
17,906
|
|
|
$
|
15,836
|
|
|
$
|
5,520
|
|
Reconciliation of net income to net cash provided by (used in) operating activities:
|
|
|
|
|
|
|
|
|
|||
Equity in undistributed (earnings) losses of subsidiaries
|
(16,969
|
)
|
|
(2,872
|
)
|
|
1,332
|
|
|||
Other operating activities, net
|
(2,944
|
)
|
|
(2,509
|
)
|
|
2,143
|
|
|||
Net cash provided by (used in) operating activities
|
(2,007
|
)
|
|
10,455
|
|
|
8,995
|
|
|||
Investing activities
|
|
|
|
|
|
|
|
|
|||
Net sales (purchases) of securities
|
—
|
|
|
15
|
|
|
(142
|
)
|
|||
Net payments to subsidiaries
|
(65,481
|
)
|
|
(7,944
|
)
|
|
(5,902
|
)
|
|||
Other investing activities, net
|
(308
|
)
|
|
70
|
|
|
19
|
|
|||
Net cash used in investing activities
|
(65,789
|
)
|
|
(7,859
|
)
|
|
(6,025
|
)
|
|||
Financing activities
|
|
|
|
|
|
|
|
|
|||
Net decrease in short-term borrowings
|
(136
|
)
|
|
(221
|
)
|
|
(55
|
)
|
|||
Net increase (decrease) in other advances
|
(44
|
)
|
|
(770
|
)
|
|
1,264
|
|
|||
Proceeds from issuance of long-term debt
|
27,363
|
|
|
26,492
|
|
|
29,324
|
|
|||
Retirement of long-term debt
|
(30,804
|
)
|
|
(27,393
|
)
|
|
(33,854
|
)
|
|||
Proceeds from issuance of preferred stock
|
2,947
|
|
|
2,964
|
|
|
5,957
|
|
|||
Common stock repurchased
|
(5,112
|
)
|
|
(2,374
|
)
|
|
(1,675
|
)
|
|||
Cash dividends paid
|
(4,194
|
)
|
|
(3,574
|
)
|
|
(2,306
|
)
|
|||
Net cash used in financing activities
|
(9,980
|
)
|
|
(4,876
|
)
|
|
(1,345
|
)
|
|||
Net increase (decrease) in cash held at bank subsidiaries
|
(77,776
|
)
|
|
(2,280
|
)
|
|
1,625
|
|
|||
Cash held at bank subsidiaries at January 1
|
98,024
|
|
|
100,304
|
|
|
98,679
|
|
|||
Cash held at bank subsidiaries at December 31
|
$
|
20,248
|
|
|
$
|
98,024
|
|
|
$
|
100,304
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
December 31
|
|
Year Ended December 31
|
||||||||||||
(Dollars in millions)
|
Year
|
|
Total Assets
(1)
|
|
Total Revenue, Net of Interest Expense
(2)
|
|
Income Before Income Taxes
|
|
Net Income
|
||||||||
U.S.
(3)
|
2016
|
|
$
|
1,900,678
|
|
|
$
|
72,418
|
|
|
$
|
22,414
|
|
|
$
|
16,267
|
|
|
2015
|
|
1,849,099
|
|
|
72,117
|
|
|
20,064
|
|
|
14,637
|
|
||||
|
2014
|
|
|
|
|
74,607
|
|
|
5,751
|
|
|
3,992
|
|
||||
Asia
|
2016
|
|
85,410
|
|
|
3,365
|
|
|
674
|
|
|
488
|
|
||||
|
2015
|
|
86,994
|
|
|
3,524
|
|
|
726
|
|
|
457
|
|
||||
|
2014
|
|
|
|
|
3,605
|
|
|
759
|
|
|
473
|
|
||||
Europe, Middle East and Africa
|
2016
|
|
174,934
|
|
|
6,608
|
|
|
1,705
|
|
|
925
|
|
||||
|
2015
|
|
178,899
|
|
|
6,081
|
|
|
938
|
|
|
516
|
|
||||
|
2014
|
|
|
|
|
6,409
|
|
|
1,098
|
|
|
813
|
|
||||
Latin America and the Caribbean
|
2016
|
|
26,680
|
|
|
1,310
|
|
|
360
|
|
|
226
|
|
||||
|
2015
|
|
29,295
|
|
|
1,243
|
|
|
342
|
|
|
226
|
|
||||
|
2014
|
|
|
|
|
1,273
|
|
|
355
|
|
|
242
|
|
||||
Total Non-U.S.
|
2016
|
|
287,024
|
|
|
11,283
|
|
|
2,739
|
|
|
1,639
|
|
||||
|
2015
|
|
295,188
|
|
|
10,848
|
|
|
2,006
|
|
|
1,199
|
|
||||
|
2014
|
|
|
|
|
11,287
|
|
|
2,212
|
|
|
1,528
|
|
||||
Total Consolidated
|
2016
|
|
$
|
2,187,702
|
|
|
$
|
83,701
|
|
|
$
|
25,153
|
|
|
$
|
17,906
|
|
|
2015
|
|
2,144,287
|
|
|
82,965
|
|
|
22,070
|
|
|
15,836
|
|
||||
|
2014
|
|
|
|
|
85,894
|
|
|
7,963
|
|
|
5,520
|
|
(1)
|
Total assets include long-lived assets, which are primarily located in the U.S.
|
(2)
|
There were no material intercompany revenues between geographic regions for any of the periods presented.
|
(3)
|
Substantially reflects the U.S.
|
|
|
Bank of America 2016
215
|
216
Bank of America 2016
|
|
|
●
|
“Proposal 1: Electing Directors – Our Director Nominees;”
|
●
|
“Corporate Governance – Additional Information;"
|
●
|
“– Board Meetings, Committee Membership and Attendance;” and
|
●
|
“Section 16(a) Beneficial Ownership Reporting Compliance.”
|
●
|
“Compensation Discussion and Analysis;”
|
●
|
“Compensation and Benefits Committee Report;”
|
●
|
“Executive Compensation;”
|
●
|
“Corporate Governance;” and
|
●
|
“Director Compensation.”
|
|
|
Bank of America 2016
217
|
●
|
“Stock Ownership of Directors, Executive Officers, and Certain Beneficial Owners.”
|
|
|
|
|
|
|
||||
Plan Category
(1)
|
Number of Shares to
be Issued Under Outstanding Options
and Rights
|
|
Weighted-average
Exercise Price of Outstanding
Options
(2)
|
|
Number of Shares Remaining for Future Issuance Under Equity Compensation Plans
(3)
|
||||
Plans approved by shareholders
(4)
|
191,623,431
|
|
|
$
|
50.31
|
|
|
339,867,064
|
|
Plans not approved by shareholders
|
—
|
|
|
—
|
|
|
—
|
|
|
Total
|
191,623,431
|
|
|
$
|
50.31
|
|
|
339,867,064
|
|
(1)
|
This table does not include outstanding options to purchase 7,760,181 shares of the Corporation’s common stock that were assumed by the Corporation in connection with prior acquisitions, under whose plans the options were originally granted. The weighted-average exercise price of these assumed options was $51.74 at
December 31, 2016
. Also, at
December 31, 2016
, there were 1,106,557 vested restricted stock units and stock option gain deferrals associated with these plans.
|
(2)
|
Does not reflect restricted stock units included in the first column, which do not have an exercise price.
|
(3)
|
Plans approved by shareholders include 339,689,305 shares of common stock available for future issuance under the Bank of America Corporation Key Employee Equity Plan and 177,759 shares of common stock which are available for future issuance under the Corporations Director Stock Plan.
|
(4)
|
Includes 157,026,330 outstanding restricted stock units.
|
●
|
“Related Person and Certain Other Transactions;” and
|
●
|
“Corporate Governance – Director Independence.”
|
●
|
“Proposal 4: Ratifying the Appointment of our Registered Independent Public Accounting Firm for 2016.”
|
218
Bank of America 2016
|
|
|
Bank of America Corporation
|
|
|
|
By:
|
/s/ Brian T. Moynihan
|
|
Brian T. Moynihan
|
|
Chief Executive Officer
|
|
Signature
|
|
Title
|
|
Date
|
|
|
|
|
|
|
|
/s/ Brian T. Moynihan
|
|
Chief Executive Officer, Chairman and Director
(Principal Executive Officer)
|
|
February 23, 2017
|
|
Brian T. Moynihan
|
|
|
||
|
|
|
|
|
|
|
*/s/ Paul M. Donofrio
|
|
Chief Financial Officer
(Principal Financial Officer)
|
|
February 23, 2017
|
|
Paul M. Donofrio
|
|
|
||
|
|
|
|
|
|
|
*/s/ Rudolf A. Bless
|
|
Chief Accounting Officer
(Principal Accounting Officer)
|
|
February 23, 2017
|
|
Rudolf A. Bless
|
|
|
||
|
|
|
|
|
|
|
*/s/ Sharon L. Allen
|
|
Director
|
|
February 23, 2017
|
|
Sharon L. Allen
|
|
|
||
|
|
|
|
|
|
|
*/s/ Susan S. Bies
|
|
Director
|
|
February 23, 2017
|
|
Susan S. Bies
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank of America 2016
219
|
|
Signature
|
|
Title
|
|
Date
|
|
|
|
|
|
|
|
*/s/ Jack O. Bovender, Jr.
|
|
Director
|
|
February 23, 2017
|
|
Jack O. Bovender, Jr.
|
|
|
||
|
|
|
|
|
|
|
*/s/ Frank P. Bramble, Sr.
|
|
Director
|
|
February 23, 2017
|
|
Frank P. Bramble, Sr.
|
|
|
||
|
|
|
|
|
|
|
*/s/ Pierre de Weck
|
|
Director
|
|
February 23, 2017
|
|
Pierre de Weck
|
|
|
||
|
|
|
|
|
|
|
*/s/ Arnold W. Donald
|
|
Director
|
|
February 23, 2017
|
|
Arnold W. Donald
|
|
|
||
|
|
|
|
|
|
|
*/s/ Linda P. Hudson
|
|
Director
|
|
February 23, 2017
|
|
Linda P. Hudson
|
|
|
||
|
|
|
|
|
|
|
*/s/ Monica C. Lozano
|
|
Director
|
|
February 23, 2017
|
|
Monica C. Lozano
|
|
|
||
|
|
|
|
|
|
|
*/s/ Thomas J. May
|
|
Director
|
|
February 23, 2017
|
|
Thomas J. May
|
|
|
||
|
|
|
|
|
|
|
*/s/ Lionel L. Nowell, III
|
|
Director
|
|
February 23, 2017
|
|
Lionel L. Nowell, III
|
|
|
||
|
|
|
|
|
|
|
*/s/ Michael D. White
|
|
Director
|
|
February 23, 2017
|
|
Michael D. White
|
|
|
||
|
|
|
|
|
|
|
*/s/ Thomas D. Woods
|
|
Director
|
|
February 23, 2017
|
|
Thomas D. Woods
|
|
|
||
|
|
|
|
|
|
|
*/s/ R. David Yost
|
|
Director
|
|
February 23, 2017
|
|
R. David Yost
|
|
|
||
|
|
|
|
|
|
*By
|
/s/ Ross E. Jeffries, Jr.
|
|
|
|
|
|
Ross E. Jeffries, Jr.
Attorney-in-Fact
|
|
|
|
|
220
Bank of America 2016
|
|
|
Exhibit No.
|
|
Description
|
3(a)
|
|
Amended and Restated Certificate of Incorporation of the registrant, as in effect on the date hereof, incorporated by reference to Exhibit 3(a) of the registrant's Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended March 31, 2016 filed on May 2, 2016.
|
(b)
|
|
Amended and Restated Bylaws of the Corporation, as in effect on the date hereof, incorporated by reference to Exhibit 3.1 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on March 20, 2015.
|
4(a)
|
|
Indenture dated as of January 1, 1995 between registrant (successor to NationsBank Corporation) and BankAmerica National Trust Company incorporated by reference to Exhibit 4.1 of registrant’s Registration Statement on Form S-3 (Registration No. 33-57533) filed on February 1, 1995; First Supplemental Indenture thereto dated as of September 18, 1998 between registrant and U.S. Bank Trust National Association (successor to BankAmerica National Trust Company), incorporated by reference to Exhibit 4.3 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on November 18, 1998; Second Supplemental Indenture thereto dated as of May 7, 2001 between registrant, U.S. Bank Trust National Association, as Prior Trustee, and The Bank of New York, as Successor Trustee, incorporated by reference to Exhibit 4.4 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on June 14, 2001; Third Supplemental Indenture thereto dated as of July 28, 2004 between registrant and The Bank of New York, incorporated by reference to Exhibit 4.2 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on August 27, 2004; Fourth Supplemental Indenture thereto dated as of April 28, 2006 between the registrant and The Bank of New York, incorporated by reference to Exhibit 4.6 of registrant’s Registration Statement on Form S-3 (Registration No. 333-133852) filed on May 5, 2006; Fifth Supplemental Indenture thereto dated as of December 1, 2008 between registrant and The Bank of New York Mellon Trust Company, N.A. (successor to The Bank of New York), incorporated by reference to Exhibit 4.1 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on December 5, 2008; Sixth Supplemental Indenture thereto dated as of February 23, 2011 between registrant and The Bank of New York Mellon Trust Company, N.A., incorporated by reference to Exhibit 4(ee) of registrant’s 2010 Annual Report on Form 10-K (File No. 1-6523) filed on February 20, 2011 (the “2010 10-K”); Seventh Supplemental Indenture thereto dated as of January 13, 2017 between registrant and The Bank of New York Mellon Trust Company, N.A., incorporated by reference to Exhibit 4.1 of registrant's Current Report on Form 8-K (File No. 1-6523) filed on January 13, 2017; and Eighth Supplemental Indenture thereto dated as of February 23, 2017 between registrant and the Bank of New York Mellon Trust Company, N.A., filed herewith.
|
(b)
|
|
Successor Trustee Agreement effective December 15, 1995 between registrant (successor to NationsBank Corporation) and First Trust of New York, National Association, as successor trustee to BankAmerica National Trust Company, incorporated by reference to Exhibit 4.2 of registrant’s Registration Statement on Form S-3 (Registration No. 333-07229) filed on June 28, 1996.
|
(c)
|
|
Agreement of Appointment and Acceptance dated as of December 29, 2006 between registrant and The Bank of New York Trust Company, N.A., incorporated by reference to Exhibit 4(aaa) of registrant’s 2006 Annual Report on Form 10-K (File No. 1-6523) filed on February 28, 2007 (the “2006 10-K”).
|
(d)
|
|
Form of Senior Registered Note, incorporated by reference to Exhibit 4.12 of registrant’s Pre-Effective Amendment No. 1 to Registration Statement on Form S-3 (Registration No. 333-202354) filed on May 1, 2015.
|
(e)
|
|
Form of Global Senior Medium-Term Note, Series L, incorporated by reference to Exhibit 4.13 of registrant’s Pre-Effective Amendment No. 1 to Registration Statement on Form S-3 (Registration No. 333-202354) filed on May 1, 2015.
|
(f)
|
|
Form of Master Global Senior Medium-Term Note, Series L, incorporated by reference to Exhibit 4.14 of registrant’s Pre-Effective Amendment No. 1 to Registration Statement on Form S-3 (Registration No. 333-202354) filed on May 1, 2015.
|
(g)
|
|
Form of Global Senior Medium-Term Note, Series M, incorporated by reference to Exhibit 4.2 of registrant's Current Report on Form 8-K (File No. 1-6523) filed on January 13, 2017.
|
(h)
|
|
Form of Master Global Senior Medium-Term Note, Series M, incorporated by reference to Exhibit 4.3 of registrant's Current Report on Form 8-K (File No. 1-6523) filed on January 13, 2017.
|
(i)
|
|
Indenture dated as of January 1, 1995 between registrant (successor to NationsBank Corporation) and The Bank of New York, incorporated by reference to Exhibit 4.5 of registrant’s Registration Statement on Form S-3 (Registration No. 33-57533) filed on February 1, 1995; First Supplemental Indenture thereto dated as of August 28, 1998 between registrant and The Bank of New York, incorporated by reference to Exhibit 4.8 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on November 18, 1998; Second Supplemental Indenture thereto dated as of January 25, 2007 between registrant and The Bank of New York Trust Company, N.A. (successor to The Bank of New York), incorporated by reference to Exhibit 4.3 of registrant’s Registration Statement on Form S-4 (Registration No. 333-141361) filed on March 16, 2007; Third Supplemental Indenture thereto dated as of February 23, 2011 between registrant and The Bank of New York Mellon Trust Company, N.A. (formerly The Bank of New York Trust Company, N.A.), incorporated by reference to Exhibit 4(ff) of registrant’s 2010 10-K; and Fourth Supplemental Indenture thereto dated as of February 23, 2017 between registrant and The Bank of New York Mellon Trust Company, N.A., filed herewith.
|
|
|
Registrant and its subsidiaries have other long-term debt agreements, but these are omitted pursuant to Item 601(b)(4)(iii) of Regulation S-K. Copies of these agreements will be furnished to the Commission on request.
|
10(a)
|
|
Bank of America Pension Restoration Plan, as amended and restated effective January 1, 2009, incorporated by reference to Exhibit 10(c) of registrant’s 2008 Annual Report on Form 10-K (File No. 1-6523) filed on February 27, 2009 (the “2008 10-K”); Amendment thereto dated December 18, 2009, incorporated by reference to Exhibit 10(c) of registrant’s 2009 Annual Report on Form 10-K (File No. 1-6523) filed on February 26, 2010 (the “2009 10-K”); Amendment thereto dated December 16, 2010, incorporated by reference to Exhibit 10(c) of the 2010 10-K; and Amendment thereto dated June 29, 2012, incorporated by reference to Exhibit 10(a) of registrant’s 2012 Annual Report on Form 10-K (File No. 1-6523) filed February 28, 2013 (the “2012 10-K”).*
|
(b)
|
|
NationsBank Corporation Benefit Security Trust dated as of June 27, 1990, incorporated by reference to Exhibit 10(t) of registrant’s 1990 Annual Report on Form 10-K (File No. 1-6523); First Supplement thereto dated as of November 30, 1992, incorporated by reference to Exhibit 10(v) of registrant’s 1992 Annual Report on Form 10-K (File No. 1-6523); Trustee Removal/Appointment Agreement dated as of December 19, 1995, incorporated by reference to Exhibit 10(o) of registrant’s 1995 Annual Report on Form 10-K (File No. 1-6523) filed on March 29, 1996.*
|
(c)
|
|
Bank of America Deferred Compensation Plan (formerly known as the Bank of America 401(k) Restoration Plan) as amended and restated effective January 1, 2015, incorporated by reference to Exhibit 10(c) of registrant’s 2014 Annual Report on Form 10-K (File No. 1-6523) filed on February 25, 2015.*
|
(d)
|
|
Bank of America Executive Incentive Compensation Plan, as amended and restated effective December 10, 2002, incorporated by reference to Exhibit 10(g) of registrant’s 2002 Annual Report on Form 10-K (File No. 1-6523) filed on March 3, 2003; and Amendment thereto dated January 23, 2013, incorporated by reference to Exhibit 10(d) of the 2012 10-K.*
|
(e)
|
|
Bank of America Director Deferral Plan, as amended and restated effective January 1, 2005, incorporated by reference to Exhibit 10(g) of the 2006 10-K.*
|
(f)
|
|
Bank of America Corporation Directors’ Stock Plan as amended and restated effective April 26, 2006, incorporated by reference to Exhibit 10.2 to the registrant’s Current Report on Form 8-K filed on December 14, 2005* and the following forms of award agreements:
|
|
|
Bank of America 2016
E-1
|
Exhibit No.
|
|
Description
|
|
|
•Form of Restricted Stock Award Agreement, incorporated by reference to Exhibit 10(h) of registrant’s 2004 Annual Report on Form 10-K (File No. 1-6523) filed on March 1, 2005 (the “2004 10-K”);*
•Form of Directors Stock Plan Restricted Stock Award Agreement for Non-Employee Chairman, incorporated by reference to Exhibit 10(b) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended September 30, 2009 filed on November 6, 2009;*
•Form of Directors’ Stock Plan Restricted Stock Award Agreement for Non-U.S. Director, incorporated by reference to Exhibit 10(a) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended March 31, 2011 filed on May 5, 2011;* and
•
Form of Directors’ Stock Plan Conditional Restricted Stock Award Agreement for Non-U.S. Director, incorporated by reference to Exhibit 10(a) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended June 30, 2011 filed on August 4, 2011.*
|
(g)
|
|
Bank of America Corporation Key Associate Stock Plan, as amended and restated effective April 28, 2010, incorporated by reference to Exhibit 10.2 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on May 3, 2010* and the following forms of award agreement under the plan:
|
|
|
•Form of Stock Option Award Agreement (February 2007 grant), incorporated by reference to Exhibit 10(i) of registrant’s 2007 Annual Report on Form 10-K (File No. 1-6523) filed on February 28, 2008;*
•Form of Stock Option Award Agreement for non-executives (February 2008 grant), incorporated by reference to Exhibit 10(i) of the 2009 10-K;*
•Form of Performance Contingent Restricted Stock Units Award Agreement, incorporated by reference to Exhibit 10.3 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on January 31, 2011;*
•Form of Performance Contingent Restricted Stock Units Award Agreement (February 2011 grant), incorporated by reference to Exhibit 10(i) of the 2010 10-K;*
•Form of Restricted Stock Units Award Agreement (February 2012 and subsequent grants), incorporated by reference to Exhibit 10(i) of registrant’s 2011 Annual Report on Form 10-K (File No. 1-6523) filed on February 25, 2012 (the “2011 10-K”);*
•Form of Performance Contingent Restricted Stock Units Award Agreement (February 2012 grant), incorporated by reference to Exhibit 10(i) of the 2011 10-K;*
•Form of Restricted Stock Units Award Agreement (February 2013 and subsequent grants), including grants to named executive officers, incorporated by reference to Exhibit 10(a) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended March 31, 2013 filed on May 5, 2013 (the “1Q 2013 10-Q”);* and
•Form of Performance Restricted Stock Units Award Agreement (February 2013 and subsequent grants), including grants to named executive officers incorporated by reference to Exhibit 10(b) of the 1Q 2013 10-Q.* and
•Form of Performance Restricted Stock Units Award Agreement (February 2014 and subsequent grants), including grants to named executive officers, incorporated by reference to Exhibit 10(a) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended March 31, 2014 filed on May 1, 2014.*
|
|
|
Bank of America Corporation Key Employee Equity Plan (formerly known as the Key Associate Stock Plan), as amended and restated effective May 6, 2015, incorporated by reference to Exhibit 10.2 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on May 7, 2015.* •Form of Cash-settled Restricted Stock Units Award Agreement (February 2016), incorporated by reference to Exhibit 10(a) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended March 31, 2016 filed on May 2, 2016;*
•Form of of Time-based Restricted Stock Units Award Agreement (February 2016), incorporated by reference to Exhibit 10(b) of registrant’s Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended March 31, 2016 filed on May 2, 2016;* and
•Form of Performance Restricted Stock Units Award Agreement (February 2016), incorporated by reference to Exhibit 10(c) of registrant’s Quarterly Report on Form10-Q (File No. 1-6523) for the quarterly period ended March 31, 2016 filed on May 2, 2016.*
|
(h)
|
|
Amendment to various plans in connection with FleetBoston Financial Corporation merger, incorporated by reference to Exhibit 10(v) of registrant’s 2003 Annual Report on Form 10-K (File No. 1-6523) filed on March 1, 2004.*
|
(i)
|
|
FleetBoston Supplemental Executive Retirement Plan, as amended by Amendment One thereto effective January 1, 1997, Amendment Two thereto effective October 15, 1997, Amendment Three thereto effective July 1, 1998, Amendment Four thereto effective August 15, 1999, Amendment Five thereto effective January 1, 2000, Amendment Six thereto effective October 10, 2001, Amendment Seven thereto effective February 19, 2002, Amendment Eight thereto effective October 15, 2002, Amendment Nine thereto effective January 1, 2003, Amendment Ten thereto effective October 21, 2003, and Amendment Eleven thereto effective December 31, 2004, incorporated by reference to Exhibit 10(r) of the 2004 10-K.*
|
(j)
|
|
FleetBoston Executive Deferred Compensation Plan No. 2, as amended by Amendment One thereto effective February 1, 1999, Amendment Two thereto effective January 1, 2000, Amendment Three thereto effective January 1, 2002, Amendment Four thereto effective October 15, 2002, Amendment Five thereto effective January 1, 2003, and Amendment Six thereto effective December 16, 2003, incorporated by reference to Exhibit 10(u) of the 2004 10-K.*
|
(k)
|
|
FleetBoston Executive Supplemental Plan, as amended by Amendment One thereto effective January 1, 2000, Amendment Two thereto effective January 1, 2002, Amendment Three thereto effective January 1, 2003, Amendment Four thereto effective January 1, 2003, and Amendment Five thereto effective December 31, 2004, incorporated by reference to Exhibit 10(v) of the 2004 10-K.*
|
(l)
|
|
Retirement Income Assurance Plan for Legacy Fleet, as amended and restated effective January 1, 2009, incorporated by reference to Exhibit 10(p) of the 2009 10-K; Amendment thereto dated December 16, 2010, incorporated by reference to Exhibit 10(c) of the 2010 10-K; and Amendment thereto dated June 29, 2012, incorporated by reference to Exhibit 10(l) of the 2012 10-K.*
|
(m)
|
|
Trust Agreement for the FleetBoston Executive Deferred Compensation Plans No. 1 and 2, incorporated by reference to Exhibit 10(x) of the 2004 10-K.*
|
(n)
|
|
Trust Agreement for the FleetBoston Executive Supplemental Plan, incorporated by reference to Exhibit 10(y) of the 2004 10-K.*
|
(o)
|
|
Trust Agreement for the FleetBoston Retirement Income Assurance Plan and the FleetBoston Supplemental Executive Retirement Plan, incorporated by reference to Exhibit 10(z) of the 2004 10-K.*
|
(p)
|
|
FleetBoston Directors Deferred Compensation and Stock Unit Plan, as amended by an amendment thereto effective as of July 1, 2000, a Second Amendment thereto effective as of January 1, 2003, a Third Amendment thereto dated April 14, 2003, and a Fourth Amendment thereto effective January 1, 2004, incorporated by reference to Exhibit 10(aa) of the 2004 10-K.*
|
(q)
|
|
BankBoston Corporation and its Subsidiaries Deferred Compensation Plan, as amended by a First Amendment thereto, a Second Amendment thereto, a Third Amendment thereto, an Instrument thereto (providing for the cessation of accruals effective December 31, 2000) and an Amendment thereto dated December 24, 2001, incorporated by reference to Exhibit 10(cc) of the 2004 10-K.*
|
(r)
|
|
BankBoston, N.A. Bonus Supplemental Employee Retirement Plan, as amended by a First Amendment thereto, a Second Amendment thereto, a Third Amendment thereto and a Fourth Amendment thereto, incorporated by reference to Exhibit 10(dd) of the 2004 10-K.*
|
(s)
|
|
Description of BankBoston Supplemental Life Insurance Plan, incorporated by reference to Exhibit 10(ee) of the 2004 10-K.*
|
(t)
|
|
BankBoston, N.A. Excess Benefit Supplemental Employee Retirement Plan, as amended by a First Amendment thereto, a Second Amendment thereto, a Third Amendment thereto (assumed by FleetBoston on October 1, 1999) and an Instrument thereto, incorporated by reference to Exhibit 10(ff) of the 2004 10-K.*
|
(u)
|
|
Description of BankBoston Supplemental Long-Term Disability Plan, incorporated by reference to Exhibit 10(gg) of the 2004 10-K.*
|
(v)
|
|
BankBoston Director Stock Award Plan, incorporated by reference to Exhibit 10(hh) of the 2004 10-K.*
|
(w)
|
|
BankBoston Corporation Directors’ Deferred Compensation Plan, as amended by a First Amendment thereto and a Second Amendment thereto, incorporated by reference to Exhibit 10(ii) of the 2004 10-K.*
|
E-2
Bank of America 2016
|
|
|
Exhibit No.
|
|
Description
|
(x)
|
|
BankBoston, N.A. Directors’ Deferred Compensation Plan, as amended by a First Amendment thereto and a Second Amendment thereto, incorporated by reference to Exhibit 10(jj) of the 2004 10-K.*
|
(y)
|
|
BankBoston 1997 Stock Option Plan for Non-Employee Directors, as amended by an amendment thereto dated as of October 16, 2001, incorporated by reference to Exhibit 10(kk) of the 2004 10-K.*
|
(z)
|
|
Description of BankBoston Director Retirement Benefits Exchange Program, incorporated by reference to Exhibit 10(ll) of the 2004 10-K.*
|
(aa)
|
|
Global amendment to definition of “change in control” or “change of control,” together with a list of plans affected by such amendment, incorporated by reference to Exhibit 10(oo) of the 2004 10-K.*
|
(bb)
|
|
Employment Agreement dated October 27, 2003 between registrant and Brian T. Moynihan, incorporated by reference to Exhibit 10(d) of registrant’s Registration Statement on Form S-4 (Registration No. 333-110924) filed on December 4, 2003.*
|
(cc)
|
|
Cancellation Agreement dated October 26, 2005 between registrant and Brian T. Moynihan, incorporated by reference to Exhibit 10.1 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on October 26, 2005.*
|
(dd)
|
|
Agreement Regarding Participation in the Fleet Boston Supplemental Executive Retirement Plan dated October 26, 2005 between registrant and Brian T. Moynihan, incorporated by reference to Exhibit 10.2 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on October 26, 2005.*
|
(ee)
|
|
Bank of America Corporation Equity Incentive Plan amended and restated effective as of January 1, 2008, incorporated by reference to Exhibit 10(zz) of the 2009 10-K.*
|
(ff)
|
|
Merrill Lynch & Co., Inc. Long-Term Incentive Compensation Plan amended as of January 1, 2009 and 2008 Restricted Units/Stock Option Grant Document for Thomas K. Montag, incorporated by reference to Exhibit 10(aaa) of the 2009 10-K.*
|
(gg)
|
|
Employment Letter dated May 1, 2008 between Merrill Lynch & Co., Inc. and Thomas K. Montag and Summary of Agreement with respect to Post-Employment Medical Coverage, incorporated by reference to Exhibit 10(bbb) of the 2009 10-K.*
|
(hh)
|
|
Form of Warrant to purchase common stock (expiring October 28, 2018), incorporated by reference to Exhibit 4.2 of registrant’s Registration Statement on Form 8-A (File No. 1-6523) filed on March 4, 2010.
|
(ii)
|
|
Form of Warrant to purchase common stock (expiring January 16, 2019), incorporated by reference to Exhibit 4.2 of registrant’s Registration Statement on Form 8-A (File No. 1-6523) filed on March 4, 2010.
|
(jj)
|
|
Retention Award Letter Agreement with Bruce R. Thompson dated January 26, 2009, incorporated by reference to Exhibit 10(ddd) of the 2010 10-K.*
|
(kk)
|
|
Aircraft Time Sharing Agreement (Multiple Aircraft) dated February 24, 2011 between Bank of America, N. A. and Brian T. Moynihan, incorporated by reference to Exhibit 10(jjj) of the 2010 10-K.*
|
(ll)
|
|
Bank of America Corporation and Designated Subsidiaries Supplemental Executive Retirement Plan for Senior Management Employees effective as of January 1, 1989, reflecting the following amendments: Amendments thereto dated as of June 28, 1989, June 27, 1990, July 21, 1991, December 3, 1992, December 15, 1992, September 28, 1994, March 27, 1996, June 25, 1997, April 10, 1998, June 24, 1998, October 1, 1998, December 14, 1999, and March 28, 2001; and Amendment thereto dated December 10, 2002, incorporated by reference to Exhibit 10(jjj) of the 2011 10-K.*
|
(mm)
|
|
Securities Purchase Agreement dated August 25, 2011 between registrant and Berkshire Hathaway Inc. (including forms of the Certificate of Designations, Warrant and Registration Rights Agreement), incorporated by reference to Exhibit 1.1 of registrant’s Current Report on Form 8-K (File No. 1-6523) filed on August 25, 2011.
|
(nn)
|
|
First Amendment to Aircraft Time Sharing Agreement dated June 15, 2015 between Bank of America, N.A. and Brian T. Moynihan, incorporated by reference to Exhibit 10 of registrant's Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended June 30, 2015 filed on July 29, 2015.*
|
(oo)
|
|
Tax Equalization Program Guidelines, incorporated by reference to Exhibit 10(uu) of registrant's Annual Report on Form 10-K (File No. 1-6523) filed on February 24, 2016.*
|
(pp)
|
|
First Amendment to the Bank of America Deferred Compensation Plan (formerly known as the Bank of America 401(k) Restoration Plan), as amended and restated effective January 1, 2015, incorporated by reference to Exhibit 10 (vv) of registrant's Annual Report on Form 10-K (File No. 1-6523) filed on February 24, 2016.*
|
(qq)
|
|
Second Amendment to Aircraft Time Sharing Agreement dated June 8, 2016 between Bank of America, N.A. and Brian T. Moynihan, incorporated by reference to Exhibit 10 of registrant's Quarterly Report on Form 10-Q (File No. 1-6523) for the quarterly period ended June 30, 2016 filed on August 1, 2016.*
|
(rr)
|
|
Form of Waiver of Certain Incremental Payouts from Performance Restricted Stock Units, filed herewith.*
|
12
|
|
Ratio of Earnings to Fixed Charges, filed herewith.
Ratio of Earnings to Fixed Charges and Preferred Dividends, filed herewith.
|
21
|
|
List of Subsidiaries, filed herewith.
|
23
|
|
Consent of PricewaterhouseCoopers LLP, filed herewith.
|
24
|
|
Power of Attorney, filed herewith.
|
31(a)
|
|
Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, filed herewith.
|
(b)
|
|
Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, filed herewith.
|
32(a)
|
|
Certification of the Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, filed herewith.
|
(b)
|
|
Certification of the Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, filed herewith.
|
Exhibit No.
|
|
Description
|
Exhibit 101.INS
|
|
XBRL Instance Document, filed herewith.
|
Exhibit 101.SCH
|
|
XBRL Taxonomy Extension Schema Document, filed herewith.
|
Exhibit 101.CAL
|
|
XBRL Taxonomy Extension Calculation Linkbase Document, filed herewith.
|
Exhibit 101.LAB
|
|
XBRL Taxonomy Extension Label Linkbase Document, filed herewith.
|
Exhibit 101.PRE
|
|
XBRL Taxonomy Extension Presentation Linkbase Document, filed herewith.
|
Exhibit 101.DEF
|
|
XBRL Taxonomy Extension Definitions Linkbase Document, filed herewith.
|
*
|
Exhibit is a management contract or a compensatory plan or arrangement.
|
|
|
Bank of America 2016
E-3
|
|
|
|
|
|
|
|
|
|
|
(a)
|
In entering into this Eighth Supplemental Indenture, the Trustee shall be entitled to the benefit of every provision of the Indenture relating to the conduct or affecting the liability or affording protection to the Trustee, whether or not elsewhere herein so provided.
|
(b)
|
The recitals contained herein shall be taken as the statements of the Company, and the Trustee assumes no responsibility for their correctness. The Trustee makes no representations as to the validity or sufficiency of this Eighth Supplemental Indenture.
|
|
|
|
|
|
|
|
|
|
|
(a)
|
The word “and” at the end of the current Section 2.03(b)(20) of the Indenture is deleted.
|
(b)
|
The following is inserted as new Section 2.03(b)(21):
|
(c)
|
The current Section 2.03(b)(21) of the Indenture is renumbered to 2.03(b)(22), and otherwise is not modified by this Fourth Supplemental Indenture.
|
(a)
|
The phrase “Except as may otherwise be specified as contemplated by Section 2.03(b) for Securities of any series,” is inserted before the phrase “The term “Event of Default,”” in the first sentence of the first paragraph of current Section 6.01.
|
(b)
|
The word “or” at the end of current Section 6.01(a) of the Base Indenture is deleted.
|
(c)
|
The phrase “; or” is added after current Section 6.01(b) of the Base Indenture.
|
(d)
|
The following is inserted as new Section 6.01(c):
|
(a)
|
The second paragraph of Section 6.03 of the Base Indenture is deleted in its entirety.
|
(b)
|
The phrase “or an Event of Default” is inserted before the phrase “occurs and is continuing” in the penultimate paragraph of Section 6.03 of the Base Indenture.
|
(a)
|
The word “and” at the end of current Section 7.02(f) of the Base Indenture is deleted.
|
(b)
|
The following paragraphs are inserted as new Sections 7.02(g), (h), (i) and (j):
|
(c)
|
The current Section 7.02(g) of the Base Indenture is renumbered to Section 7.02(k) and otherwise is not modified by this Fourth Supplemental Indenture.
|
(a)
|
In entering into this Fourth Supplemental Indenture, the Trustee shall be entitled to the benefit of every provision of the Indenture relating to the conduct or affecting the liability or affording protection to the Trustee, whether or not elsewhere herein so provided.
|
(b)
|
The recitals contained herein shall be taken as the statements of the Company, and the Trustee assumes no responsibility for their correctness. The Trustee makes no representations as to the validity or sufficiency of this Fourth Supplemental Indenture.
|
1
|
To be included for participants who hold 2012 PRSUs.
|
2
|
To be included and revised accordingly for participants who hold 2014 PRSUs, 2015 PRSUs and/or 2016 PRSUs.
|
3
|
To be included for participants who hold 2014 and/or 2015 PRSUs.
|
4
|
To be included for participants who do not hold 2014 or 2015 PRSUs.
|
Bank of America Corporation and Subsidiaries
|
|
|
|
|
|
Exhibit 12
|
|
||||||||||||
Ratio of Earnings to Fixed Charges
|
|
|
|
|
|
|
|
|
|||||||||||
Ratio of Earnings to Fixed Charges and Preferred Dividends
|
|
|
|
|
|
|
|
|
|||||||||||
|
Year Ended December 31
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Excluding Interest on Deposits
|
|
|
|
|
|
|
|
|
|
||||||||||
Income before income taxes
|
$
|
25,153
|
|
|
$
|
22,070
|
|
|
$
|
7,963
|
|
|
$
|
14,733
|
|
|
$
|
2,535
|
|
Equity in undistributed earnings (loss) of unconsolidated subsidiaries
|
(262
|
)
|
|
(152
|
)
|
|
(222
|
)
|
|
(66
|
)
|
|
212
|
|
|||||
Fixed charges:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest expense
|
8,946
|
|
|
9,688
|
|
|
9,855
|
|
|
11,359
|
|
|
14,754
|
|
|||||
1/3 of net rent expense
(1)
|
883
|
|
|
945
|
|
|
1,023
|
|
|
1,091
|
|
|
1,092
|
|
|||||
Total fixed charges
|
9,829
|
|
|
10,633
|
|
|
10,878
|
|
|
12,450
|
|
|
15,846
|
|
|||||
Preferred dividend requirements
|
2,363
|
|
|
2,067
|
|
|
1,506
|
|
|
1,746
|
|
|
968
|
|
|||||
Fixed charges and preferred dividends
|
12,192
|
|
|
12,700
|
|
|
12,384
|
|
|
14,196
|
|
|
16,814
|
|
|||||
Earnings
|
$
|
34,720
|
|
|
$
|
32,551
|
|
|
$
|
18,619
|
|
|
$
|
27,117
|
|
|
$
|
18,593
|
|
Ratio of earnings to fixed charges
|
3.53
|
|
|
3.06
|
|
|
1.71
|
|
|
2.18
|
|
|
1.17
|
|
|||||
Ratio of earnings to fixed charges and preferred dividends
|
2.85
|
|
|
2.56
|
|
|
1.50
|
|
|
1.91
|
|
|
1.11
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Year Ended December 31
|
||||||||||||||||||
(Dollars in millions)
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Including Interest on Deposits
|
|
|
|
|
|
|
|
|
|
||||||||||
Income before income taxes
|
$
|
25,153
|
|
|
$
|
22,070
|
|
|
$
|
7,963
|
|
|
$
|
14,733
|
|
|
$
|
2,535
|
|
Equity in undistributed earnings (loss) of unconsolidated subsidiaries
|
(262
|
)
|
|
(152
|
)
|
|
(222
|
)
|
|
(66
|
)
|
|
212
|
|
|||||
Fixed charges:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest expense
|
9,961
|
|
|
10,549
|
|
|
10,935
|
|
|
12,755
|
|
|
16,744
|
|
|||||
1/3 of net rent expense
(1)
|
883
|
|
|
945
|
|
|
1,023
|
|
|
1,091
|
|
|
1,092
|
|
|||||
Total fixed charges
|
10,844
|
|
|
11,494
|
|
|
11,958
|
|
|
13,846
|
|
|
17,836
|
|
|||||
Preferred dividend requirements
|
2,363
|
|
|
2,067
|
|
|
1,506
|
|
|
1,746
|
|
|
968
|
|
|||||
Fixed charges and preferred dividends
|
13,207
|
|
|
13,561
|
|
|
13,464
|
|
|
15,592
|
|
|
18,804
|
|
|||||
Earnings
|
$
|
35,735
|
|
|
$
|
33,412
|
|
|
$
|
19,699
|
|
|
$
|
28,513
|
|
|
$
|
20,583
|
|
Ratio of earnings to fixed charges
|
3.30
|
|
|
2.91
|
|
|
1.65
|
|
|
2.06
|
|
|
1.15
|
|
|||||
Ratio of earnings to fixed charges and preferred dividends
|
2.71
|
|
|
2.46
|
|
|
1.46
|
|
|
1.83
|
|
|
1.09
|
|
(1)
|
Represents an appropriate interest factor.
|
Name
|
Location
|
Jurisdiction
|
BA Continuum Costa Rica, Limitada
|
San Jose, Costa Rica
|
Costa Rica
|
BA Continuum India Private Limited
|
Hyderabad, India
|
India
|
BA Continuum Singapore International Holdings Private Limited
|
Singapore, Singapore
|
Singapore
|
BA Credit Card Funding, LLC
|
Charlotte, NC
|
Delaware
|
BA Electronic Data Processing (Guangzhou) Ltd.
|
Guangzhou, PRC
|
People's Republic of China
|
BAC Canada Finance Company
|
Toronto, Ontario, Canada
|
Canada
|
BAC North America Holding Company
|
Charlotte, NC
|
Delaware
|
BANA Canada Funding Company Ltd.
|
Calgary, Alberta, Canada
|
Canada
|
BANA Holding Corporation
|
Charlotte, NC
|
Delaware
|
Banc of America FSC Holdings, Inc.
|
San Francisco, CA
|
Delaware
|
Banc of America Leasing & Capital, LLC
|
San Francisco, CA
|
Delaware
|
Banc of America Merchant Services, LLC
|
Atlanta, GA
|
Delaware
|
Banc of America Preferred Funding Corporation
|
Charlotte, NC
|
Delaware
|
Banc of America Public Capital Corp
|
Charlotte, NC
|
Kansas
|
Banc of America Securities Asia Limited
|
Hong Kong, PRC
|
Hong Kong
|
Banc of America Securitization Holding Corporation
|
Charlotte, NC
|
Delaware
|
Bank of America California, National Association
|
San Francisco, CA
|
United States of America
|
Bank of America Malaysia Berhad
|
Kuala Lumpur, Malaysia
|
Malaysia
|
Bank of America Merrill Lynch Banco Multiplo S.A.
|
Sao Paulo, Brazil
|
Brazil
|
Bank of America Merrill Lynch International Limited
|
London, U.K.
|
United Kingdom
|
Bank of America Mexico, S.A., Institucion de Banca Multiple
|
Mexico City, Mexico
|
Mexico
|
Bank of America Singapore Limited
|
Singapore, Singapore
|
Singapore
|
Bank of America, National Association
|
Charlotte, NC
|
United States of America
|
BankAmerica International Financial Corporation
|
San Francisco, CA
|
United States of America
|
Blue Ridge Investments, L.L.C.
|
Charlotte, NC
|
Delaware
|
BofA Canada Bank
|
Toronto, Ontario, Canada
|
Canada
|
BofA Finance LLC
|
Charlotte, NC
|
Delaware
|
Boston Overseas Financial Corporation
|
New York, NY
|
United States of America
|
Cherry Park LLC
|
Charlotte, NC
|
Delaware
|
CM Investment Solutions Limited
|
London, U.K.
|
United Kingdom
|
Countrywide Financial Corporation
|
Calabasas, CA
|
Delaware
|
Countrywide Home Loans, Inc.
|
Calabasas, CA
|
New York
|
DSP Merrill Lynch Limited
|
Mumbai, India
|
India
|
FIA Holdings S.a.r.l.
|
Luxembourg, Luxembourg
|
Luxembourg
|
Financial Data Services, Inc.
|
Jacksonville, FL
|
Florida
|
First Franklin Financial Corporation
|
San Jose, CA
|
Delaware
|
Managed Account Advisors LLC
|
Jersey City, NJ
|
Delaware
|
MBNA Limited
|
Chester, England
|
United Kingdom
|
Merrill Lynch (Asia Pacific) Limited
|
Hong Kong, PRC
|
Hong Kong
|
Merrill Lynch (Australia) Futures Limited
|
Sydney, Australia
|
Australia
|
Merrill Lynch (Singapore) Pte. Ltd.
|
Singapore, Singapore
|
Singapore
|
Merrill Lynch Argentina S.A.
|
Capital Federal, Argentina
|
Argentina
|
Merrill Lynch B.V.
|
Amsterdam, Netherlands
|
Netherlands
|
Merrill Lynch Bank and Trust Company (Cayman) Limited
|
George Town, Grand Cayman, Cayman Is.
|
Cayman Islands
|
Merrill Lynch Canada Inc.
|
Toronto, Ontario, Canada
|
Canada
|
Merrill Lynch Capital Markets AG
|
Zurich, Switzerland
|
Switzerland
|
Merrill Lynch Capital Markets Espana, S.A., S.V.
|
Madrid, Spain
|
Spain
|
Merrill Lynch Capital Services, Inc.
|
New York, NY
|
Delaware
|
Merrill Lynch Commodities (Europe) Limited
|
London, U.K.
|
United Kingdom
|
Merrill Lynch Commodities Canada, ULC
|
Toronto, Ontario, Canada
|
Canada
|
Merrill Lynch Commodities, Inc.
|
Houston, TX
|
Delaware
|
Merrill Lynch Corredores de Bolsa SpA
|
Santiago, Chile
|
Chile
|
Merrill Lynch Credit Reinsurance Limited
|
Hamilton, Bermuda
|
Bermuda
|
Merrill Lynch Derivative Products AG
|
Zurich, Switzerland
|
Switzerland
|
Merrill Lynch Equities (Australia) Limited
|
Sydney, Australia
|
Australia
|
Merrill Lynch Equity S.a.r.l.
|
Luxembourg, Luxembourg
|
Luxembourg
|
Merrill Lynch Far East Limited
|
Hong Kong, PRC
|
Hong Kong
|
Merrill Lynch Financial Markets, Inc.
|
New York, NY
|
Delaware
|
Merrill Lynch Global Services Pte. Ltd.
|
Singapore, Singapore
|
Singapore
|
Merrill Lynch International
|
London, U.K.
|
United Kingdom
|
Merrill Lynch International & Co. C.V.
|
Curacao, Netherlands Antilles
|
Curacao
|
Merrill Lynch International Bank Designated Activity Company
|
Dublin, Ireland
|
Ireland
|
Merrill Lynch International Incorporated
|
New York, NY
|
Delaware
|
Merrill Lynch Israel Ltd.
|
Tel Aviv, Israel
|
Israel
|
Merrill Lynch Japan Finance GK
|
Tokyo, Japan
|
Japan
|
Merrill Lynch Japan Securities Co., Ltd.
|
Tokyo, Japan
|
Japan
|
Merrill Lynch Life Agency Inc. (Washington)
|
Pennington, NJ
|
Washington
|
Name
|
Location
|
Jurisdiction
|
Merrill Lynch Luxembourg Finance S.A.
|
Luxembourg, Luxembourg
|
Luxembourg
|
Merrill Lynch Malaysian Advisory Sdn. Bhd.
|
Kuala Lumpur, Malaysia
|
Malaysia
|
Merrill Lynch Markets (Australia) Pty. Limited
|
Sydney, Australia
|
Australia
|
Merrill Lynch Markets Singapore Pte. Ltd.
|
Singapore, Singapore
|
Singapore
|
Merrill Lynch Menkul Degerler A.S.
|
Istanbul, Turkey
|
Turkey
|
Merrill Lynch Mexico, S.A. de C.V., Casa de Bolsa
|
Mexico City, Mexico
|
Mexico
|
Merrill Lynch Mortgage Lending, Inc.
|
New York, NY
|
Delaware
|
Merrill Lynch Professional Clearing Corp.
|
New York, NY
|
Delaware
|
Merrill Lynch Reinsurance Solutions LTD
|
Hamilton, Bermuda
|
Bermuda
|
Merrill Lynch S.A. Corretora de Titulos e Valores Mobiliarios
|
Sao Paulo, Brazil
|
Brazil
|
Merrill Lynch Securities (Taiwan) Ltd.
|
Taipei, Taiwan
|
Taiwan
|
Merrill Lynch Securities (Thailand) Limited
|
Bangkok, Thailand
|
Thailand
|
Merrill Lynch South Africa (Proprietary) Limited
|
Gauteng, South Africa
|
South Africa
|
Merrill Lynch UK Holdings Limited
|
London, U.K.
|
United Kingdom
|
Merrill Lynch Yatirim Bank A.S.
|
Istanbul, Turkey
|
Turkey
|
Merrill Lynch, Kingdom of Saudi Arabia Company
|
Kingdom of Saudi Arabia
|
Saudi Arabia
|
Merrill Lynch, Pierce, Fenner & Smith, Incorporated
|
New York, NY
|
Delaware
|
ML Equity Solutions Jersey Limited
|
St. Helier, Jersey
|
Jersey
|
ML UK Capital Holdings Limited
|
London, U.K.
|
United Kingdom
|
Mortgages 1 Limited
|
London, U.K.
|
United Kingdom
|
Mortgages plc
|
London, U.K.
|
United Kingdom
|
NB Holdings Corporation
|
Charlotte, NC
|
Delaware
|
One Bryant Park LLC
|
New York, NY
|
Delaware
|
OOO Merrill Lynch Securities
|
Moscow, Russia
|
Russia Federation
|
Plano Partners
|
Charlotte, NC
|
Delaware
|
PT Merrill Lynch Indonesia
|
Jakarta, Indonesia
|
Indonesia
|
ReconTrust Company, National Association
|
Simi Valley, CA
|
United States of America
|
Regent Street II, Inc.
|
Charlotte, NC
|
Delaware
|
Specialized Lending, LLC
|
Dallas, TX
|
Delaware
|
Spring Valley Management LLC
|
Charlotte, NC
|
Delaware
|
U.S. Trust Company of Delaware
|
Wilmington, DE
|
Delaware
|
Wave Lending Limited
|
London, U.K.
|
United Kingdom
|
White Springs LLC
|
Charlotte, NC
|
Delaware
|
•
|
the Registration Statements on Form S-3 (Nos. 333-202354 and 333-213265);
|
•
|
the Registration Statements on Form S-8 (Nos. 333-212376; 333-204453; 333-198405; 333-157085; 333-133566; 333-121513; 333-102043; 333-02875; 333-167797; and 333-153771)
|
Signature
|
|
Title
|
Date
|
|
|
|
|
/s/ Brian T. Moynihan
|
|
Chief Executive Officer, Chairman and Director
|
February 16, 2017
|
Brian T. Moynihan
|
|
(Principal Executive Officer)
|
|
|
|
|
|
/s/ Paul M. Donofrio
|
|
Chief Financial Officer
|
February 22, 2017
|
Paul M. Donofrio
|
|
(Principal Financial Officer)
|
|
|
|
|
|
/s/ Rudolf A. Bless
|
|
Chief Accounting Officer
|
February 16, 2017
|
Rudolf A. Bless
|
|
(Principal Accounting Officer)
|
|
|
|
|
|
/s/ Sharon L. Allen
|
|
Director
|
February 22, 2017
|
Sharon L. Allen
|
|
|
|
|
|
|
|
/s/ Susan S. Bies
|
|
Director
|
February 23, 2017
|
Susan S. Bies
|
|
|
|
|
|
|
|
/s/ Jack O. Bovender, Jr.
|
|
Director
|
February 17, 2017
|
Jack O. Bovender, Jr.
|
|
|
|
|
|
|
|
/s/ Frank P. Bramble, Sr.
|
|
Director
|
February 23, 2017
|
Frank P. Bramble, Sr.
|
|
|
|
|
|
|
|
/s/ Pierre de Weck
|
|
Director
|
February 22, 2017
|
Pierre de Weck
|
|
|
|
|
|
|
|
/s/ Arnold W. Donald
|
|
Director
|
February 23, 2017
|
Arnold W. Donald
|
|
|
|
|
|
|
|
Signature
|
|
Title
|
Date
|
|
|
|
|
/s/ Linda P. Hudson
|
|
Director
|
February 22, 2017
|
Linda P. Hudson
|
|
|
|
|
|
|
|
/s/ Monica C. Lozano
|
|
Director
|
February 22, 2017
|
Monica C. Lozano
|
|
|
|
|
|
|
|
/s/ Thomas J. May
|
|
Director
|
February 23, 2017
|
Thomas J. May
|
|
|
|
|
|
|
|
/s/ Lionel L. Nowell, III
|
|
Director
|
February 22, 2017
|
Lionel L. Nowell, III
|
|
|
|
|
|
|
|
/s/ Michael D. White
|
|
Director
|
February 17, 2017
|
Michael D. White
|
|
|
|
|
|
|
|
/s/ Thomas D. Woods
|
|
Director
|
February 22, 2017
|
Thomas D. Woods
|
|
|
|
|
|
|
|
/s/ R. David Yost
|
|
Director
|
February 21, 2017
|
R. David Yost
|
|
|
|
|
|
|
|
1.
|
I have reviewed this Annual Report on Form 10-K of Bank of America Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date:
|
February 23, 2017
|
/s/ Brian T. Moynihan
Brian T. Moynihan
Chief Executive Officer
|
1.
|
I have reviewed this Annual Report on Form 10-K of Bank of America Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Date:
|
February 23, 2017
|
/s/ Paul M. Donofrio
Paul M. Donofrio
Chief Financial Officer
|
1.
|
I am the Chief Executive Officer of Bank of America Corporation (the registrant).
|
2.
|
I hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
|
•
|
the Annual Report on Form 10-K of the registrant for the year ended
December 31, 2016
(the periodic report) containing financial statements fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and
|
•
|
the information contained in the periodic report fairly presents, in all material respects, the financial condition and results of operations of the registrant as of, and for, the periods presented.
|
Date:
|
February 23, 2017
|
/s/ Brian T. Moynihan
Brian T. Moynihan
Chief Executive Officer
|
1.
|
I am the Chief Financial Officer of Bank of America Corporation (the registrant).
|
2.
|
I hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
|
•
|
the Annual Report on Form 10-K of the registrant for the year ended
December 31, 2016
(the periodic report) containing financial statements fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); and
|
•
|
the information contained in the periodic report fairly presents, in all material respects, the financial condition and results of operations of the registrant as of, and for, the periods presented.
|
Date:
|
February 23, 2017
|
/s/ Paul M. Donofrio
Paul M. Donofrio
Chief Financial Officer
|