|
North Carolina
|
56-0939887
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
|
|
200 West Second Street
Winston-Salem, North Carolina
|
27101
|
(Address of principal executive offices)
|
(Zip Code)
|
Registrant’s telephone number, including area code: (336) 733-2000
|
Title of each class
|
|
Name of each exchange on which registered
|
Common Stock, $5 par value
|
|
New York Stock Exchange
|
Depositary Shares each representing 1/1,000th interest in a share of Series D Non-Cumulative Perpetual Preferred Stock
|
|
New York Stock Exchange
|
Depositary Shares each representing 1/1,000th interest in a share of Series E Non-Cumulative Perpetual Preferred Stock
|
|
New York Stock Exchange
|
Depositary Shares each representing 1/1,000th interest in a share of Series F Non-Cumulative Perpetual Preferred Stock
|
|
New York Stock Exchange
|
Depositary Shares each representing 1/1,000th interest in a share of Series G Non-Cumulative Perpetual Preferred Stock
|
|
New York Stock Exchange
|
Depositary Shares each representing 1/1,000th interest in a share of Series H Non-Cumulative Perpetual Preferred Stock
|
|
New York Stock Exchange
|
Large accelerated filer
|
ý
|
|
Accelerated filer
|
¨
|
Non-accelerated filer
|
¨
|
(Do not check if a smaller reporting company)
|
Smaller reporting company
|
¨
|
|
|
|
Emerging growth company
|
¨
|
|
TABLE OF CONTENTS
|
||
Form 10-K
|
||
December 31, 2017
|
||
|
|
Page Nos.
|
PART I
|
||
Item 1
|
Business
|
|
Item 1A
|
Risk Factors
|
|
Item 1B
|
Unresolved Staff Comments-(None to be reported)
|
|
Item 2
|
Properties
|
|
Item 3
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Legal Proceedings (see Note 6, Note 11 and Note 13)
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|
Item 4
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Mine Safety Disclosures-(Not applicable)
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|
PART II
|
||
Item 5
|
Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
|
|
Item 6
|
Selected Financial Data
|
|
Item 7
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Management's Discussion and Analysis of Financial Condition and Results of Operations
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Item 7A
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Quantitative and Qualitative Disclosures About Market Risk (see Market Risk Management)
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|
Item 8
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Financial Statements and Supplementary Data
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|
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Quarterly Financial Summary
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|
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Report of Independent Registered Public Accounting Firm
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|
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Consolidated Balance Sheets
|
|
|
Consolidated Statements of Income
|
|
|
Consolidated Statements of Comprehensive Income
|
|
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Consolidated Statements of Changes in Shareholders' Equity
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|
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Consolidated Statements of Cash Flows
|
|
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Notes to Consolidated Financial Statements
|
|
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Note 1. Summary of Significant Accounting Policies
|
|
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Note 2. Securities
|
|
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Note 3. Loans and ACL
|
|
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Note 4. Premises and Equipment
|
|
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Note 5. Goodwill and Other Intangible Assets
|
|
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Note 6. Loan Servicing
|
|
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Note 7. Deposits
|
|
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Note 8. Long-Term Debt
|
|
|
Note 9. Shareholders' Equity
|
|
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Note 10. AOCI
|
|
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Note 11. Income Taxes
|
|
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Note 12. Benefit Plans
|
|
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Note 13. Commitments and Contingencies
|
|
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Note 14. Regulatory Requirements and Other Restrictions
|
|
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Note 15. Parent Company Financial Statements
|
|
|
Note 16. Fair Value Disclosures
|
|
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Note 17. Derivative Financial Instruments
|
|
|
Note 18. Computation of EPS
|
|
|
Note 19. Operating Segments
|
|
Item 9
|
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure-(None to be reported)
|
|
Item 9A
|
Controls and Procedures
|
|
Item 9B
|
Other Information-(None to be reported)
|
|
PART III
|
||
Item 10
|
Directors, Executive Officers and Corporate Governance
|
*
|
Item 11
|
Executive Compensation
|
*
|
Item 12
|
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
|
*
|
Item 13
|
Certain Relationships and Related Transactions, and Director Independence
|
*
|
Item 14
|
Principal Accounting Fees and Services
|
*
|
PART IV
|
||
Item 15
|
Exhibits, Financial Statement Schedules
|
|
|
Financial Statements-(see Listing in Item 8 above)
|
|
|
Exhibits
|
|
|
Financial Statement Schedules-(None required)
|
|
Item 16
|
Form 10-K Summary-(None)
|
|
*
|
For information regarding executive officers, refer to "Executive Officers of BB&T" in Part I. The other information required by Item 10 is incorporated herein by reference to the information that appears under the headings "Proposal 1-Election of Directors," "Corporate Governance Matters," "Corporate Governance Matters-Board Committees, Membership, Attendance and Lead Director Responsibilities," "Audit Committee Report" and "Section 16(a) Beneficial Ownership Reporting Compliance" in the Registrant’s Proxy Statement for the
2018
Annual Meeting of Shareholders.
|
Term
|
|
Definition
|
2017 Repurchase Plan
|
|
Plan for the repurchase of up to $1.93 billion of BB&T's common stock
|
ACL
|
|
Allowance for credit losses
|
AFS
|
|
Available-for-sale
|
Agency MBS
|
|
Mortgage-backed securities issued by a U.S. government agency or GSE
|
ALLL
|
|
Allowance for loan and lease losses
|
American Coastal
|
|
American Coastal Insurance Company
|
AOCI
|
|
Accumulated other comprehensive income (loss)
|
Basel III
|
|
Global regulatory standards on bank capital adequacy and liquidity published by the BCBS
|
BB&T
|
|
BB&T Corporation and subsidiaries
|
BCBS
|
|
Basel Committee on Banking Supervision
|
BHC
|
|
Bank holding company
|
BHCA
|
|
Bank Holding Company Act of 1956, as amended
|
Branch Bank
|
|
Branch Banking and Trust Company
|
BSA/AML
|
|
Bank Secrecy Act/Anti-Money Laundering
|
CB-Commercial
|
|
Community Banking Commercial, an operating segment
|
CB-Retail
|
|
Community Banking Retail and Consumer Finance, an operating segment
|
CCAR
|
|
Comprehensive Capital Analysis and Review
|
CD
|
|
Certificate of deposit
|
CDI
|
|
Core deposit intangible assets
|
CEO
|
|
Chief Executive Officer
|
CET1
|
|
Common equity Tier 1
|
CFPB
|
|
Consumer Financial Protection Bureau
|
CISA
|
|
Cybersecurity Information Sharing Act
|
CMO
|
|
Collateralized mortgage obligation
|
Colonial
|
|
Collectively, certain assets and liabilities of Colonial Bank acquired by BB&T in 2009
|
Company
|
|
BB&T Corporation and subsidiaries (interchangeable with "BB&T" above)
|
CRA
|
|
Community Reinvestment Act of 1977
|
CRE
|
|
Commercial real estate
|
CRMC
|
|
Credit Risk Management Committee
|
CRO
|
|
Chief Risk Officer
|
CROC
|
|
Compliance Risk Oversight Committee
|
DIF
|
|
Deposit Insurance Fund administered by the FDIC
|
Dodd-Frank Act
|
|
Dodd-Frank Wall Street Reform and Consumer Protection Act
|
DOL
|
|
United States Department of Labor
|
DTSSRC
|
|
Data & Technology Services Strategy & Risk Committee
|
EPS
|
|
Earnings per common share
|
EVE
|
|
Economic value of equity
|
Exchange Act
|
|
Securities Exchange Act of 1934, as amended
|
FASB
|
|
Financial Accounting Standards Board
|
FATCA
|
|
Foreign Account Tax Compliance Act
|
FDIC
|
|
Federal Deposit Insurance Corporation
|
FHA
|
|
Federal Housing Administration
|
FHC
|
|
Financial Holding Company
|
FHLB
|
|
Federal Home Loan Bank
|
FHLMC
|
|
Federal Home Loan Mortgage Corporation
|
FINRA
|
|
Financial Industry Regulatory Authority
|
FNMA
|
|
Federal National Mortgage Association
|
FRB
|
|
Board of Governors of the Federal Reserve System
|
FS&CF
|
|
Financial Services and Commercial Finance, an operating segment
|
FTP
|
|
Funds transfer pricing
|
GAAP
|
|
Accounting principles generally accepted in the United States of America
|
GNMA
|
|
Government National Mortgage Association
|
Grandbridge
|
|
Grandbridge Real Estate Capital, LLC
|
GSE
|
|
U.S. government-sponsored enterprise
|
HFI
|
|
Held for investment
|
HMDA
|
|
Home Mortgage Disclosure Act
|
HTM
|
|
Held-to-maturity
|
HUD-OIG
|
|
Office of Inspector General, U.S. Department of Housing and Urban Development
|
Term
|
|
Definition
|
IDI
|
|
Insured depository institution
|
IH&PF
|
|
Insurance Holdings and Premium Finance, an operating segment
|
IPV
|
|
Independent price verification
|
IRC
|
|
Internal Revenue Code
|
IRS
|
|
Internal Revenue Service
|
ISDA
|
|
International Swaps and Derivatives Association, Inc.
|
LCR
|
|
Liquidity Coverage Ratio
|
LHFS
|
|
Loans held for sale
|
LIBOR
|
|
London Interbank Offered Rate
|
MBS
|
|
Mortgage-backed securities
|
MRLCC
|
|
Market Risk, Liquidity and Capital Committee
|
MRM
|
|
Model Risk Management
|
MSR
|
|
Mortgage servicing right
|
MSRB
|
|
Municipal Securities Rulemaking Board
|
N/A
|
|
Not applicable
|
National Penn
|
|
National Penn Bancshares, Inc., previously a Pennsylvania incorporated BHC, acquired April 1, 2016
|
NCCOB
|
|
North Carolina Office of the Commissioner of Banks
|
NIM
|
|
Net interest margin, computed on a taxable-equivalent basis
|
NM
|
|
Not meaningful
|
NPA
|
|
Nonperforming asset
|
NPL
|
|
Nonperforming loan
|
NSFR
|
|
Net stable value funding ratio
|
NYSE
|
|
NYSE Euronext, Inc.
|
OAS
|
|
Option adjusted spread
|
OCI
|
|
Other comprehensive income (loss)
|
OFAC
|
|
U.S. Department of the Treasury’s Office of Foreign Assets Control
|
OREO
|
|
Other real estate owned
|
ORMC
|
|
Operational Risk Management Committee
|
OT&C
|
|
Other, Treasury and Corporate
|
OTTI
|
|
Other-than-temporary impairment
|
Parent Company
|
|
BB&T Corporation, the parent company of Branch Bank and other subsidiaries
|
Patriot Act
|
|
Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001
|
PCI
|
|
Purchased credit impaired loans as well as assets of Colonial Bank acquired from the FDIC during 2009, which were formerly covered under loss sharing agreements
|
PSU
|
|
Performance share units
|
Re-REMICs
|
|
Re-securitizations of Real Estate Mortgage Investment Conduits
|
RMC
|
|
Risk Management Committee
|
RMO
|
|
Risk Management Organization
|
RSU
|
|
Restricted stock unit
|
RUFC
|
|
Reserve for unfunded lending commitments
|
S&P
|
|
Standard & Poor's
|
SBIC
|
|
Small Business Investment Company
|
SEC
|
|
Securities and Exchange Commission
|
Short-Term Borrowings
|
|
Federal funds purchased, securities sold under repurchase agreements and other short-term borrowed funds with original maturities of less than one year
|
Simulation
|
|
Interest sensitivity simulation analysis
|
Susquehanna
|
|
Susquehanna Bancshares, Inc., acquired by BB&T effective August 1, 2015
|
Swett & Crawford
|
|
CGSC North America Holdings Corporation, acquired by BB&T effective April 1, 2016
|
TBA
|
|
To be announced
|
TDR
|
|
Troubled debt restructuring
|
TE
|
|
Taxable-equivalent
|
U.S.
|
|
United States of America
|
U.S. Treasury
|
|
United States Department of the Treasury
|
UPB
|
|
Unpaid principal balance
|
VaR
|
|
Value-at-risk
|
VIE
|
|
Variable interest entity
|
l
|
general economic or business conditions, either nationally or regionally, may be less favorable than expected, resulting in, among other things, slower deposit and/or asset growth, and a deterioration in credit quality and/or a reduced demand for credit, insurance or other services;
|
l
|
disruptions to the national or global financial markets, including the impact of a downgrade of U.S. government obligations by one of the credit ratings agencies, the economic instability and recessionary conditions in Europe, the eventual exit of the United Kingdom from the European Union;
|
l
|
changes in the interest rate environment, including interest rate changes made by the Federal Reserve, as well as cash flow reassessments may reduce net interest margin and/or the volumes and values of loans made or held as well as the value of other financial assets held;
|
l
|
competitive pressures among depository and other financial institutions may increase significantly;
|
l
|
legislative, regulatory or accounting changes, including changes resulting from the adoption and implementation of the Dodd-Frank Act may adversely affect the businesses in which BB&T is engaged;
|
l
|
local, state or federal taxing authorities may take tax positions that are adverse to BB&T;
|
l
|
a reduction may occur in BB&T's credit ratings;
|
l
|
adverse changes may occur in the securities markets;
|
l
|
competitors of BB&T may have greater financial resources or develop products that enable them to compete more successfully than BB&T and may be subject to different regulatory standards than BB&T;
|
l
|
cybersecurity risks could adversely affect BB&T's business and financial performance or reputation, and BB&T could be liable for financial losses incurred by third parties due to breaches of data shared between financial institutions;
|
l
|
higher-than-expected costs related to information technology infrastructure or a failure to successfully implement future system enhancements could adversely impact BB&T's financial condition and results of operations and could result in significant additional costs to BB&T;
|
l
|
natural or other disasters, including acts of terrorism, could have an adverse effect on BB&T, materially disrupting BB&T's operations or the ability or willingness of customers to access BB&T's products and services;
|
l
|
costs related to the integration of the businesses of BB&T and its merger partners may be greater than expected;
|
l
|
failure to execute on strategic or operational plans, including the ability to successfully complete and/or integrate mergers and acquisitions or fully achieve expected cost savings or revenue growth associated with mergers and acquisitions within the expected time frames could adversely impact financial condition and results of operations;
|
l
|
significant litigation and regulatory proceedings could have a material adverse effect on BB&T;
|
l
|
unfavorable resolution of legal proceedings or other claims and regulatory and other governmental investigations or other inquiries could result in negative publicity, protests, fines, penalties, restrictions on BB&T's operations or ability to expand its business and other negative consequences, all of which could cause reputational damage and adversely impact BB&T's financial conditions and results of operations;
|
l
|
risks resulting from the extensive use of models;
|
l
|
risk management measures may not be fully effective;
|
l
|
deposit attrition, customer loss and/or revenue loss following completed mergers/acquisitions may exceed expectations; and
|
l
|
widespread system outages, caused by the failure of critical internal systems or critical services provided by third parties, could adversely impact BB&T's financial condition and results of operations.
|
•
|
BB&T Commercial Equipment Capital Corp. (Malvern, Pennsylvania) provides loans and lease financing to commercial and small businesses.
|
•
|
BB&T Equipment Finance Corporation (Charlotte, North Carolina) provides loan and lease financing to commercial and small businesses;
|
•
|
BB&T Insurance Services, Inc. (Raleigh, North Carolina) offers property and casualty, life, health, employee benefits, commercial general liability, surety, title and other insurance products through its agency network;
|
•
|
BB&T Investment Services, Inc. (Charlotte, North Carolina) was a registered broker-dealer and offers clients non-deposit investment products, including discount brokerage services, equities, fixed-rate, variable-rate and index annuities, mutual funds, government and municipal bonds, and money market funds. It merged with BB&T Securities, LLC effective January 1, 2018;
|
•
|
CRC Insurance Services, Inc. (Birmingham, Alabama) is a wholesale insurance broker authorized to do business nationwide;
|
•
|
Crump Life Insurance Services, Inc. (Parsippany, New Jersey) is a wholesale insurance broker authorized to do business nationwide;
|
•
|
Grandbridge (Charlotte, North Carolina) specializes in arranging and servicing commercial mortgage loans;
|
•
|
McGriff, Seibels & Williams, Inc. (Birmingham, Alabama) is authorized to do business nationwide and specializes in providing insurance products on an agency basis to large commercial clients, including many Fortune 500 companies;
|
•
|
Prime Rate Premium Finance Corporation, Inc. (Florence, South Carolina) and its subsidiaries, which include AFCO Credit Corporation, provide insurance premium financing to clients in the United States and Canada; and
|
•
|
BB&T Securities, LLC (Richmond, Virginia) is a registered investment banking and full-service brokerage firm that provides services in retail brokerage, equity and debt underwriting, investment advice, corporate finance and equity research; and facilitates the origination, trading and distribution of fixed-income securities and equity products in both the public and private capital markets;
|
•
|
Regional Acceptance Corporation (Greenville, North Carolina) specializes in nonprime, indirect financing for consumer purchases of primarily mid-model and late-model used automobiles; and
|
•
|
Sterling Capital Management, LLC (Charlotte, North Carolina) is a registered investment advisor, which provides tailored investment management solutions to meet the specific needs and objectives of individual and institutional clients through a full range of investment strategies.
|
|
Retail Services:
|
|
Commercial Services:
|
|
Asset management
|
|
Asset management
|
|
Automobile lending
|
|
Association services
|
|
Bankcard lending
|
|
Capital markets services
|
|
Consumer finance
|
|
Commercial deposit and treasury services
|
|
Home equity lending
|
|
Commercial finance
|
|
Home mortgage lending
|
|
Commercial middle market lending
|
|
Insurance
|
|
Commercial mortgage lending
|
|
Investment brokerage services
|
|
Corporate banking
|
|
Mobile/online banking
|
|
Floor plan lending
|
|
Payment solutions
|
|
Institutional trust services
|
|
Retail deposit services
|
|
Insurance
|
|
Small business lending
|
|
Insurance premium finance
|
|
Wealth management/private banking
|
|
International banking services
|
|
|
|
Leasing
|
|
|
|
Merchant services
|
|
|
|
Mortgage warehouse lending
|
|
|
|
Payment solutions
|
|
|
|
Private equity investments
|
|
|
|
Real estate lending
|
|
|
|
Supply chain management
|
Table 1
|
|||||||
BB&T Deposit Market Share and Branch Locations by State
|
|||||||
|
|
|
|
|
|
|
|
|
|
% of BB&T's Deposits (2)
|
|
Deposit Market Share Rank (2)
|
|
Number of Branches (3)
|
|
North Carolina (1)
|
|
21
|
%
|
|
2nd
|
|
328
|
Virginia
|
|
16
|
|
|
4th
|
|
319
|
Florida
|
|
13
|
|
|
7th
|
|
298
|
Pennsylvania
|
|
10
|
|
|
6th
|
|
246
|
Georgia
|
|
8
|
|
|
5th
|
|
144
|
Maryland
|
|
7
|
|
|
6th
|
|
158
|
South Carolina
|
|
6
|
|
|
3rd
|
|
102
|
Texas
|
|
4
|
|
|
14th
|
|
117
|
Kentucky
|
|
4
|
|
|
4th
|
|
99
|
West Virginia
|
|
4
|
|
|
1st
|
|
68
|
Alabama
|
|
3
|
|
|
6th
|
|
77
|
Tennessee
|
|
2
|
|
|
8th
|
|
46
|
New Jersey
|
|
1
|
|
|
16th
|
|
30
|
Washington, D.C.
|
|
1
|
|
|
9th
|
|
12
|
(1)
|
Excludes home office deposits.
|
(2)
|
Source: S&P Global Market Intelligence-data as of December 28,
2017
.
|
(3)
|
As of
December 31, 2017
. Excludes three branches in Ohio and two in Indiana.
|
•
|
the organization must be a good fit with BB&T’s culture;
|
•
|
the acquisition must be strategically attractive;
|
•
|
any risks must be identified and mitigation plans put in place to ensure any risks fall within BB&T’s risk appetite; and
|
•
|
the transaction must meet BB&T’s financial criteria.
|
Executive Officer
|
|
Recent Work Experience
|
|
Yrs of Service
|
|
Age
|
Kelly S. King
|
|
Chairman since January 2010. Chief Executive Officer since January 2009.
|
|
45
|
|
69
|
Chairman and Chief Executive Officer
|
|
|
|
|
||
Christopher L. Henson
|
|
President since December 2016. Chief Operating Officer since January 2009.
|
|
33
|
|
56
|
President and Chief Operating Officer
|
|
|
|
|
||
Daryl N. Bible
|
|
Chief Financial Officer since January 2009.
|
|
10
|
|
56
|
Senior Executive Vice President and
|
|
|
|
|
|
|
Chief Financial Officer
|
|
|
|
|
|
|
Clarke R. Starnes III
|
|
Chief Risk Officer since July 2009.
|
|
35
|
|
58
|
Senior Executive Vice President and
|
|
|
|
|
|
|
Chief Risk Officer
|
|
|
|
|
|
|
W. Bennett Bradley
|
|
Chief Digital Officer since January 2016. President, Payment Solutions from September 2005 to December 2015.
|
|
32
|
|
56
|
Senior Executive Vice President and
|
|
|
|
|
|
|
Chief Digital Officer
|
|
|
|
|
|
|
Barbara F. Duck
|
|
Chief Information Officer since July 2016. Data and Technology Services Manager from January 2016 to June 2016. Enterprise Risk Manager from July 2009 to December 2015.
|
|
30
|
|
51
|
Senior Executive Vice President and
|
|
|
|
|
||
Chief Information Officer
|
|
|
|
|
||
Jim. D. Godwin
|
|
Chief Credit Officer since January 2018. Deputy Chief Risk Officer from January 2016 to December 2017. Chief Operational Risk Officer from September 2012 to December 2015. Credit Risk Review Manager from May 2009 to September 2012.
|
|
22
|
|
49
|
Senior Executive Vice President and
|
|
|
|
|
|
|
Chief Credit Officer
|
|
|
|
|
|
|
Donna C. Goodrich
|
|
Deposit, Operations and Fraud Manager since November 2017. Deposit, Payment and Operations Services Manager from January 2016 to October 2017. Deposit Services Manager from April 2004 to December 2015.
|
|
32
|
|
55
|
Senior Executive Vice President and
|
|
|
|
|
||
Deposit, Operations and Fraud Manager
|
|
|
|
|
||
Robert J. Johnson, Jr.
|
|
General Counsel, Secretary and Chief Corporate Governance Officer since August 2010.
|
|
13
|
|
45
|
Senior Executive Vice President and
|
|
|
|
|
||
General Counsel, Secretary and
|
|
|
|
|
|
|
Chief Corporate Governance Officer
|
|
|
|
|
|
|
Brant J. Standridge
|
|
President, Retail Banking since January 2018. Lending Group Manager from August 2016 to December 2017. Regional President in Texas from January 2015 to August 2016. Regional President in Georgia from November 2011 to December 2014.
|
|
19
|
|
42
|
Senior Executive Vice President and
|
|
|
|
|
|
|
President, Retail Banking
|
|
|
|
|
|
|
David H. Weaver
|
|
President, Community Banking since December 2016. Community Banking Group Executive from 2010 to December 2016.
|
|
22
|
|
51
|
Senior Executive Vice President and
|
|
|
|
|
|
|
President, Community Banking
|
|
|
|
|
|
|
Dontá L. Wilson
|
|
Chief Client Experience Officer since August 2016. Regional President in Georgia from December 2014 to July 2016. Regional President in Alabama from August 2009 to November 2014.
|
|
19
|
|
41
|
Senior Executive Vice President and
|
|
|
|
|
|
|
Chief Client Experience Officer
|
|
|
|
|
|
|
W. Rufus Yates
|
|
President and CEO of BB&T Securities, LLC since January 2009. Financial Services Commercial Finance Manager since 2012.
|
|
31
|
|
60
|
Senior Executive Vice President and
|
|
|
|
|
||
President and CEO of BB&T Securities, LLC
|
|
|
|
|
||
and Financial Services Commercial Finance
|
|
|
|
|
||
Manager
|
|
|
|
|
•
|
customers may not want or need BB&T’s products or services;
|
•
|
borrowers may not be able or willing to repay their loans;
|
•
|
the value of the collateral securing loans to borrowers may decline; and
|
•
|
the quality of BB&T’s loan portfolio may decline.
|
ITEM 5.
|
MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
|
Table 2
|
||||||||||||||||||||||||||||||||
Quarterly Summary of Market Prices and Cash Dividends Declared on Common Stock
|
||||||||||||||||||||||||||||||||
|
|
|
|
|
||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
||||||||||||||||||||||||||||
|
|
Sales Prices
|
|
Cash Dividends Declared
|
|
Sales Prices
|
|
Cash Dividends Declared
|
||||||||||||||||||||||||
|
|
High
|
|
Low
|
|
Close
|
|
|
High
|
|
Low
|
|
Close
|
|
||||||||||||||||||
Quarter Ended:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
March 31
|
|
$
|
49.88
|
|
|
$
|
42.73
|
|
|
$
|
44.70
|
|
|
$
|
0.30
|
|
|
$
|
37.03
|
|
|
$
|
29.95
|
|
|
$
|
33.27
|
|
|
$
|
0.27
|
|
June 30
|
|
46.50
|
|
|
41.17
|
|
|
45.41
|
|
|
0.30
|
|
|
37.02
|
|
|
32.22
|
|
|
35.61
|
|
|
0.28
|
|
||||||||
September 30
|
|
48.90
|
|
|
43.03
|
|
|
46.94
|
|
|
0.33
|
|
|
38.81
|
|
|
33.72
|
|
|
37.72
|
|
|
0.30
|
|
||||||||
December 31
|
|
51.11
|
|
|
44.62
|
|
|
49.72
|
|
|
0.33
|
|
|
47.85
|
|
|
37.40
|
|
|
47.02
|
|
|
0.30
|
|
||||||||
Year
|
|
51.11
|
|
|
41.17
|
|
|
49.72
|
|
|
$
|
1.26
|
|
|
47.85
|
|
|
29.95
|
|
|
47.02
|
|
|
$
|
1.15
|
|
Table 3
|
||||||||||||||
Share Repurchase Activity
|
||||||||||||||
|
|
|
|
|
|
|
|
|
||||||
(shares in thousands)
|
|
Total Shares Repurchased (1)
|
|
Average Price Paid Per Share
|
|
Total Shares Purchased Pursuant to Publicly-Announced Plan (2)
|
|
Maximum Remaining Dollar Value of Shares Available for Repurchase Pursuant to Publicly-Announced Plan
|
||||||
October 2017
|
|
5,477
|
|
|
$
|
48.12
|
|
|
5,477
|
|
|
$
|
696
|
|
November 2017
|
|
2,296
|
|
|
47.53
|
|
|
2,296
|
|
|
640
|
|
||
December 2017
|
|
—
|
|
|
—
|
|
|
—
|
|
|
640
|
|
||
Total
|
|
7,773
|
|
|
47.95
|
|
|
7,773
|
|
|
|
|
(1)
|
Excludes commissions.
|
(2)
|
Pursuant to the 2017 Repurchase Plan, announced on June 28, 2017, authorizing up to $1.88 billion of share repurchases over a one-year period ending June 30, 2018. In November 2017, the amount authorized was increased $53 million to $1.93 billion for the same one-year period.
|
Table 4
|
||||||||
Equity Compensation Plan Information
|
||||||||
|
|
|
|
|
|
|
||
Plan Category
|
|
(a)(1)
Number of securities to be issued upon exercise of outstanding options, warrants and rights
|
|
(b)(2)
Weighted-average exercise price of outstanding options, warrants and rights
|
|
(c)(3)
Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in (a))
|
||
Approved by security holders
|
|
18,474,088
|
|
|
$30.88
|
|
19,408,161
|
|
Not approved by security holders (4)
|
|
—
|
|
|
—
|
|
—
|
|
Total
|
|
18,474,088
|
|
|
30.88
|
|
19,408,161
|
|
(1)
|
Includes 12,521,571 RSUs and PSUs.
|
(2)
|
Excludes RSUs and PSUs because they do not have an exercise price.
|
(3)
|
All awards remaining available for future issuance will be issued under the terms of the 2012 Incentive Plan, as amended.
|
(4)
|
Excludes 195,933 options outstanding with a weighted average exercise price of $31.40 for plans that BB&T will not make future awards under and were assumed in mergers and acquisitions.
|
|
|
As of / Through December 31,
|
|
10 Year Cumulative Total Return Through 12/31/2017(1)
|
||||||||||||||||||||||||
|
|
Invested
|
|
Cumulative Total Return
|
|
|||||||||||||||||||||||
|
|
2012
|
|
2013
|
|
2014
|
|
2015
|
|
2016
|
|
2017
|
|
|||||||||||||||
BB&T Corporation
|
|
$
|
100.00
|
|
|
$
|
132.72
|
|
|
$
|
141.87
|
|
|
$
|
141.73
|
|
|
$
|
182.08
|
|
|
$
|
197.88
|
|
|
$
|
228.92
|
|
S&P 500 Index
|
|
100.00
|
|
|
132.38
|
|
|
150.49
|
|
|
152.55
|
|
|
170.79
|
|
|
208.06
|
|
|
225.85
|
|
|||||||
BB&T's Peer Group
|
|
100.00
|
|
|
136.23
|
|
|
161.16
|
|
|
162.89
|
|
|
189.90
|
|
|
217.45
|
|
|
217.40
|
|
(1)
|
The 10 year cumulative total return assumes $100 was invested on December 31, 2007
|
(1)
|
Revenue is defined as net interest income plus noninterest income.
|
(2)
|
TE adjustment is based on the marginal income tax rates for the periods presented.
|
(3)
|
Excludes trading securities. HTM securities at amortized cost. AFS securities at fair value.
|
(4)
|
Loans and leases are net of unearned income and include LHFS.
|
ITEM 7.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
•
|
Intense competition within the financial services industry given the challenge in growing assets.
|
•
|
New technologies and evolving consumer preferences will put pressure on market share and customer loyalty.
|
•
|
Global economic and geopolitical risk, including potential financial system instability and ramifications of sovereign debt issues.
|
•
|
Cost and risk associated with regulatory initiatives and IT projects.
|
Table 5
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||
TE Net Interest Income and Rate / Volume Analysis (1)
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2017, 2016 and 2015
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
2017 vs. 2016
|
|
2016 vs. 2015
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
Average Balances (6)
|
|
Yield/Rate
|
|
Income/Expense
|
|
Incr.
|
|
Change due to
|
|
Incr.
|
|
Change due to
|
|||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|
(Decr.)
|
|
Rate
|
|
Vol.
|
|
(Decr.)
|
|
Rate
|
|
Vol.
|
|||||||||||||||||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Total securities, at amortized cost: (2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
U.S. Treasury
|
|
$
|
4,179
|
|
|
$
|
3,061
|
|
|
$
|
2,650
|
|
|
1.71
|
%
|
|
1.67
|
%
|
|
1.58
|
%
|
|
$
|
72
|
|
|
$
|
51
|
|
|
$
|
42
|
|
|
$
|
21
|
|
|
$
|
1
|
|
|
$
|
20
|
|
|
$
|
9
|
|
|
$
|
2
|
|
|
$
|
7
|
|
GSE
|
|
2,385
|
|
|
3,601
|
|
|
5,338
|
|
|
2.22
|
|
|
2.13
|
|
|
2.13
|
|
|
53
|
|
|
77
|
|
|
113
|
|
|
(24
|
)
|
|
3
|
|
|
(27
|
)
|
|
(36
|
)
|
|
—
|
|
|
(36
|
)
|
||||||||||||
Agency MBS
|
|
37,250
|
|
|
36,658
|
|
|
30,683
|
|
|
2.26
|
|
|
2.05
|
|
|
1.98
|
|
|
841
|
|
|
750
|
|
|
605
|
|
|
91
|
|
|
79
|
|
|
12
|
|
|
145
|
|
|
22
|
|
|
123
|
|
||||||||||||
States and political subdivisions
|
|
1,748
|
|
|
2,361
|
|
|
2,204
|
|
|
4.77
|
|
|
5.20
|
|
|
5.65
|
|
|
83
|
|
|
123
|
|
|
125
|
|
|
(40
|
)
|
|
(10
|
)
|
|
(30
|
)
|
|
(2
|
)
|
|
(11
|
)
|
|
9
|
|
||||||||||||
Non-agency MBS
|
|
411
|
|
|
534
|
|
|
751
|
|
|
18.80
|
|
|
14.56
|
|
|
13.51
|
|
|
77
|
|
|
78
|
|
|
102
|
|
|
(1
|
)
|
|
19
|
|
|
(20
|
)
|
|
(24
|
)
|
|
7
|
|
|
(31
|
)
|
||||||||||||
Other
|
|
56
|
|
|
64
|
|
|
477
|
|
|
2.17
|
|
|
1.87
|
|
|
1.31
|
|
|
1
|
|
|
—
|
|
|
7
|
|
|
1
|
|
|
1
|
|
|
—
|
|
|
(7
|
)
|
|
1
|
|
|
(8
|
)
|
||||||||||||
Total securities
|
|
46,029
|
|
|
46,279
|
|
|
42,103
|
|
|
2.45
|
|
|
2.33
|
|
|
2.36
|
|
|
1,127
|
|
|
1,079
|
|
|
994
|
|
|
48
|
|
|
93
|
|
|
(45
|
)
|
|
85
|
|
|
21
|
|
|
64
|
|
||||||||||||
Other earning assets (3)
|
|
3,484
|
|
|
3,202
|
|
|
2,768
|
|
|
1.53
|
|
|
1.64
|
|
|
1.39
|
|
|
53
|
|
|
53
|
|
|
38
|
|
|
—
|
|
|
(4
|
)
|
|
4
|
|
|
15
|
|
|
8
|
|
|
7
|
|
||||||||||||
Loans and leases, net of unearned income: (4)(5)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Commercial and industrial
|
|
57,994
|
|
|
56,227
|
|
|
49,518
|
|
|
3.59
|
|
|
3.40
|
|
|
3.25
|
|
|
2,080
|
|
|
1,914
|
|
|
1,612
|
|
|
166
|
|
|
106
|
|
|
60
|
|
|
302
|
|
|
77
|
|
|
225
|
|
||||||||||||
CRE
|
|
20,497
|
|
|
19,407
|
|
|
15,840
|
|
|
4.08
|
|
|
3.75
|
|
|
3.67
|
|
|
837
|
|
|
727
|
|
|
581
|
|
|
110
|
|
|
67
|
|
|
43
|
|
|
146
|
|
|
13
|
|
|
133
|
|
||||||||||||
Lease financing
|
|
1,726
|
|
|
1,524
|
|
|
1,183
|
|
|
2.82
|
|
|
3.01
|
|
|
2.82
|
|
|
49
|
|
|
45
|
|
|
33
|
|
|
4
|
|
|
(3
|
)
|
|
7
|
|
|
12
|
|
|
2
|
|
|
10
|
|
||||||||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Residential mortgage
|
|
29,140
|
|
|
30,184
|
|
|
30,252
|
|
|
4.02
|
|
|
4.05
|
|
|
4.15
|
|
|
1,170
|
|
|
1,224
|
|
|
1,255
|
|
|
(54
|
)
|
|
(10
|
)
|
|
(44
|
)
|
|
(31
|
)
|
|
(28
|
)
|
|
(3
|
)
|
||||||||||||
Direct
|
|
11,968
|
|
|
11,796
|
|
|
9,375
|
|
|
4.60
|
|
|
4.27
|
|
|
4.07
|
|
|
550
|
|
|
503
|
|
|
381
|
|
|
47
|
|
|
40
|
|
|
7
|
|
|
122
|
|
|
20
|
|
|
102
|
|
||||||||||||
Indirect
|
|
17,840
|
|
|
17,072
|
|
|
16,443
|
|
|
6.89
|
|
|
6.94
|
|
|
6.86
|
|
|
1,230
|
|
|
1,186
|
|
|
1,127
|
|
|
44
|
|
|
(9
|
)
|
|
53
|
|
|
59
|
|
|
13
|
|
|
46
|
|
||||||||||||
Revolving credit
|
|
2,662
|
|
|
2,521
|
|
|
2,406
|
|
|
8.88
|
|
|
8.77
|
|
|
8.76
|
|
|
236
|
|
|
221
|
|
|
211
|
|
|
15
|
|
|
3
|
|
|
12
|
|
|
10
|
|
|
—
|
|
|
10
|
|
||||||||||||
PCI
|
|
784
|
|
|
1,063
|
|
|
1,083
|
|
|
18.86
|
|
|
19.55
|
|
|
16.57
|
|
|
148
|
|
|
208
|
|
|
179
|
|
|
(60
|
)
|
|
(7
|
)
|
|
(53
|
)
|
|
29
|
|
|
32
|
|
|
(3
|
)
|
||||||||||||
Total loans and leases HFI
|
|
142,611
|
|
|
139,794
|
|
|
126,100
|
|
|
4.42
|
|
|
4.31
|
|
|
4.27
|
|
|
6,300
|
|
|
6,028
|
|
|
5,379
|
|
|
272
|
|
|
187
|
|
|
85
|
|
|
649
|
|
|
129
|
|
|
520
|
|
||||||||||||
LHFS
|
|
1,464
|
|
|
1,965
|
|
|
1,702
|
|
|
3.62
|
|
|
3.34
|
|
|
3.63
|
|
|
53
|
|
|
66
|
|
|
62
|
|
|
(13
|
)
|
|
5
|
|
|
(18
|
)
|
|
4
|
|
|
(5
|
)
|
|
9
|
|
||||||||||||
Total loans and leases
|
|
144,075
|
|
|
141,759
|
|
|
127,802
|
|
|
4.41
|
|
|
4.30
|
|
|
4.26
|
|
|
6,353
|
|
|
6,094
|
|
|
5,441
|
|
|
259
|
|
|
192
|
|
|
67
|
|
|
653
|
|
|
124
|
|
|
529
|
|
||||||||||||
Total earning assets
|
|
193,588
|
|
|
191,240
|
|
|
172,673
|
|
|
3.89
|
|
|
3.78
|
|
|
3.75
|
|
|
7,533
|
|
|
7,226
|
|
|
6,473
|
|
|
307
|
|
|
281
|
|
|
26
|
|
|
753
|
|
|
153
|
|
|
600
|
|
||||||||||||
Nonearning assets
|
|
27,477
|
|
|
27,705
|
|
|
24,674
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Total assets
|
|
$
|
221,065
|
|
|
$
|
218,945
|
|
|
$
|
197,347
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Liabilities and Shareholders’ Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Interest checking
|
|
$
|
28,033
|
|
|
$
|
27,595
|
|
|
$
|
22,092
|
|
|
0.25
|
|
|
0.14
|
|
|
0.08
|
|
|
$
|
70
|
|
|
$
|
39
|
|
|
$
|
18
|
|
|
$
|
31
|
|
|
$
|
30
|
|
|
$
|
1
|
|
|
$
|
21
|
|
|
$
|
16
|
|
|
$
|
5
|
|
Money market and savings
|
|
63,061
|
|
|
62,966
|
|
|
56,592
|
|
|
0.30
|
|
|
0.20
|
|
|
0.19
|
|
|
190
|
|
|
123
|
|
|
107
|
|
|
67
|
|
|
67
|
|
|
—
|
|
|
16
|
|
|
5
|
|
|
11
|
|
||||||||||||
Time deposits
|
|
14,133
|
|
|
16,619
|
|
|
16,405
|
|
|
0.51
|
|
|
0.51
|
|
|
0.66
|
|
|
72
|
|
|
85
|
|
|
107
|
|
|
(13
|
)
|
|
—
|
|
|
(13
|
)
|
|
(22
|
)
|
|
(23
|
)
|
|
1
|
|
||||||||||||
Foreign office deposits - interest-bearing
|
|
1,142
|
|
|
1,034
|
|
|
593
|
|
|
1.05
|
|
|
0.38
|
|
|
0.12
|
|
|
12
|
|
|
4
|
|
|
1
|
|
|
8
|
|
|
8
|
|
|
—
|
|
|
3
|
|
|
2
|
|
|
1
|
|
||||||||||||
Total interest-bearing deposits
|
|
106,369
|
|
|
108,214
|
|
|
95,682
|
|
|
0.32
|
|
|
0.23
|
|
|
0.24
|
|
|
344
|
|
|
251
|
|
|
233
|
|
|
93
|
|
|
105
|
|
|
(12
|
)
|
|
18
|
|
|
—
|
|
|
18
|
|
||||||||||||
Short-term borrowings
|
|
4,311
|
|
|
2,554
|
|
|
3,221
|
|
|
0.94
|
|
|
0.35
|
|
|
0.15
|
|
|
41
|
|
|
9
|
|
|
4
|
|
|
32
|
|
|
23
|
|
|
9
|
|
|
5
|
|
|
6
|
|
|
(1
|
)
|
||||||||||||
Long-term debt
|
|
21,660
|
|
|
22,791
|
|
|
23,343
|
|
|
2.10
|
|
|
2.13
|
|
|
2.13
|
|
|
454
|
|
|
485
|
|
|
498
|
|
|
(31
|
)
|
|
(7
|
)
|
|
(24
|
)
|
|
(13
|
)
|
|
—
|
|
|
(13
|
)
|
||||||||||||
Total interest-bearing liabilities
|
|
132,340
|
|
|
133,559
|
|
|
122,246
|
|
|
0.63
|
|
|
0.56
|
|
|
0.60
|
|
|
839
|
|
|
745
|
|
|
735
|
|
|
94
|
|
|
121
|
|
|
(27
|
)
|
|
10
|
|
|
6
|
|
|
4
|
|
||||||||||||
Noninterest-bearing deposits
|
|
52,872
|
|
|
49,255
|
|
|
42,816
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Other liabilities
|
|
5,852
|
|
|
6,776
|
|
|
6,414
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Shareholders’ equity
|
|
30,001
|
|
|
29,355
|
|
|
25,871
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Total liabilities and shareholders’ equity
|
|
$
|
221,065
|
|
|
$
|
218,945
|
|
|
$
|
197,347
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Average interest rate spread
|
|
|
|
|
|
|
|
|
|
|
3.26
|
%
|
|
3.22
|
%
|
|
3.15
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
NIM / net interest income
|
|
|
|
|
|
|
|
|
3.46
|
%
|
|
3.39
|
%
|
|
3.32
|
%
|
|
$
|
6,694
|
|
|
$
|
6,481
|
|
|
$
|
5,738
|
|
|
$
|
213
|
|
|
$
|
160
|
|
|
$
|
53
|
|
|
$
|
743
|
|
|
$
|
147
|
|
|
$
|
596
|
|
|||||
TE adjustment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
159
|
|
|
$
|
160
|
|
|
$
|
146
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Yields are stated on a TE basis utilizing the marginal income tax rates for the periods presented. The change in interest not solely due to changes in yield/rate or volume has been allocated on a pro-rata basis based on the absolute dollar amount of each.
|
(2)
|
Total securities include AFS and HTM securities.
|
(3)
|
Includes cash equivalents, interest-bearing deposits with banks, trading securities, FHLB stock and other earning assets.
|
(4)
|
Loan fees, which are not material for any of the periods shown, are included for rate calculation purposes.
|
(5)
|
NPLs are included in the average balances.
|
(6)
|
Excludes basis adjustments for fair value hedges.
|
Table 6
|
||||||||||||||||||
Noninterest Income
|
||||||||||||||||||
|
|
|
|
|
||||||||||||||
|
|
Year Ended December 31,
|
|
% Change
|
||||||||||||||
|
|
|
2017 vs. 2016
|
|
2016 vs. 2015
|
|||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
|
||||||||||
Insurance income
|
|
$
|
1,754
|
|
|
$
|
1,713
|
|
|
$
|
1,596
|
|
|
2.4
|
%
|
|
7.3
|
%
|
Service charges on deposits
|
|
706
|
|
|
664
|
|
|
631
|
|
|
6.3
|
|
|
5.2
|
|
|||
Mortgage banking income
|
|
415
|
|
|
463
|
|
|
455
|
|
|
(10.4
|
)
|
|
1.8
|
|
|||
Investment banking and brokerage fees and commissions
|
|
410
|
|
|
408
|
|
|
398
|
|
|
0.5
|
|
|
2.5
|
|
|||
Trust and investment advisory revenues
|
|
278
|
|
|
266
|
|
|
240
|
|
|
4.5
|
|
|
10.8
|
|
|||
Bankcard fees and merchant discounts
|
|
271
|
|
|
237
|
|
|
218
|
|
|
14.3
|
|
|
8.7
|
|
|||
Checkcard fees
|
|
214
|
|
|
195
|
|
|
174
|
|
|
9.7
|
|
|
12.1
|
|
|||
Operating lease income
|
|
146
|
|
|
137
|
|
|
124
|
|
|
6.6
|
|
|
10.5
|
|
|||
Income from bank-owned life insurance
|
|
122
|
|
|
123
|
|
|
113
|
|
|
(0.8
|
)
|
|
8.8
|
|
|||
FDIC loss share income, net
|
|
—
|
|
|
(142
|
)
|
|
(253
|
)
|
|
(100.0
|
)
|
|
(43.9
|
)
|
|||
Securities gains (losses), net
|
|
(1
|
)
|
|
46
|
|
|
(3
|
)
|
|
(102.2
|
)
|
|
NM
|
|
|||
Other income
|
|
467
|
|
|
362
|
|
|
326
|
|
|
29.0
|
|
|
11.0
|
|
|||
Total noninterest income
|
|
$
|
4,782
|
|
|
$
|
4,472
|
|
|
$
|
4,019
|
|
|
6.9
|
|
|
11.3
|
|
Table 7
|
||||||||||||||||||
Noninterest Expense
|
||||||||||||||||||
|
|
|
|
|
||||||||||||||
|
|
Year Ended December 31,
|
|
% Change
|
||||||||||||||
|
|
|
2017 vs. 2016
|
|
2016 vs. 2015
|
|||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
|
||||||||||
Personnel expense
|
|
$
|
4,121
|
|
|
$
|
3,964
|
|
|
$
|
3,469
|
|
|
4.0
|
%
|
|
14.3
|
%
|
Occupancy and equipment expense
|
|
784
|
|
|
786
|
|
|
708
|
|
|
(0.3
|
)
|
|
11.0
|
|
|||
Software expense
|
|
242
|
|
|
224
|
|
|
192
|
|
|
8.0
|
|
|
16.7
|
|
|||
Outside IT services
|
|
160
|
|
|
186
|
|
|
135
|
|
|
(14.0
|
)
|
|
37.8
|
|
|||
Regulatory charges
|
|
153
|
|
|
145
|
|
|
101
|
|
|
5.5
|
|
|
43.6
|
|
|||
Amortization of intangibles
|
|
142
|
|
|
150
|
|
|
105
|
|
|
(5.3
|
)
|
|
42.9
|
|
|||
Loan-related expense
|
|
130
|
|
|
95
|
|
|
150
|
|
|
36.8
|
|
|
(36.7
|
)
|
|||
Professional services
|
|
123
|
|
|
102
|
|
|
130
|
|
|
20.6
|
|
|
(21.5
|
)
|
|||
Merger-related and restructuring charges, net
|
|
115
|
|
|
171
|
|
|
165
|
|
|
(32.7
|
)
|
|
3.6
|
|
|||
Loss (gain) on early extinguishment of debt
|
|
392
|
|
|
(1
|
)
|
|
172
|
|
|
NM
|
|
|
(100.6
|
)
|
|||
Other expense
|
|
1,082
|
|
|
899
|
|
|
939
|
|
|
20.4
|
|
|
(4.3
|
)
|
|||
Total noninterest expense
|
|
$
|
7,444
|
|
|
$
|
6,721
|
|
|
$
|
6,266
|
|
|
10.8
|
|
|
7.3
|
|
•
|
severance and personnel-related costs or credits, which typically occur in corporate support and data processing functions;
|
•
|
occupancy and equipment charges or credits, which relate to costs or gains associated with lease terminations, obsolete equipment write-offs and the sale of duplicate facilities and equipment;
|
•
|
professional services, which relate to investment banking advisory fees and other consulting services pertaining to the transaction;
|
•
|
systems conversion and related charges, which represent costs to integrate the acquired entity’s information technology systems; and
|
•
|
other merger-related and restructuring charges or credits, which include expenses necessary to convert and combine the acquired branches and operations of merged companies, direct media advertising related to the acquisitions, asset and supply inventory write-offs, and other similar charges.
|
Table 8
|
||||||||||||||||||||||||||||||||
Merger-related and Restructuring Accrual Activity
|
||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
|
|
Year Ended December 31, 2017
|
|
Year Ended December 31, 2016
|
||||||||||||||||||||||||||||
(Dollars in millions)
|
|
Beginning Balance
|
|
Expense
|
|
Utilized
|
|
Ending Balance
|
|
Beginning Balance
|
|
Expense
|
|
Utilized
|
|
Ending Balance
|
||||||||||||||||
Severance and personnel-related
|
|
$
|
25
|
|
|
$
|
40
|
|
|
$
|
(51
|
)
|
|
$
|
14
|
|
|
$
|
26
|
|
|
$
|
51
|
|
|
$
|
(52
|
)
|
|
$
|
25
|
|
Occupancy and equipment (1)
|
|
21
|
|
|
43
|
|
|
(44
|
)
|
|
20
|
|
|
11
|
|
|
49
|
|
|
(39
|
)
|
|
21
|
|
||||||||
Professional services
|
|
1
|
|
|
2
|
|
|
(3
|
)
|
|
—
|
|
|
13
|
|
|
14
|
|
|
(26
|
)
|
|
1
|
|
||||||||
Systems conversion and related costs (1)
|
|
1
|
|
|
26
|
|
|
(27
|
)
|
|
—
|
|
|
—
|
|
|
27
|
|
|
(26
|
)
|
|
1
|
|
||||||||
Other adjustments
|
|
1
|
|
|
4
|
|
|
(5
|
)
|
|
—
|
|
|
2
|
|
|
30
|
|
|
(31
|
)
|
|
1
|
|
||||||||
Total
|
|
$
|
49
|
|
|
$
|
115
|
|
|
$
|
(130
|
)
|
|
$
|
34
|
|
|
$
|
52
|
|
|
$
|
171
|
|
|
$
|
(174
|
)
|
|
$
|
49
|
|
Table 10
|
||||||||||||||
Securities Yields By Major Category and Maturity
|
||||||||||||||
|
|
|
||||||||||||
|
|
December 31, 2017
|
||||||||||||
|
|
AFS
|
|
HTM
|
||||||||||
(Dollars in millions)
|
|
Fair Value
|
|
Effective Yield (1)
|
|
Amortized Cost
|
|
Effective Yield (1)
|
||||||
U.S. Treasury:
|
|
|
|
|
|
|
|
|
||||||
Within one year
|
|
$
|
307
|
|
|
1.21
|
%
|
|
$
|
—
|
|
|
—
|
%
|
One to five years
|
|
246
|
|
|
1.53
|
|
|
1,098
|
|
|
2.30
|
|
||
Five to ten years
|
|
1,738
|
|
|
1.52
|
|
|
—
|
|
|
—
|
|
||
Total
|
|
2,291
|
|
|
1.48
|
|
|
1,098
|
|
|
2.30
|
|
||
GSE:
|
|
|
|
|
|
|
|
|
|
|
|
|
||
One to five years
|
|
26
|
|
|
1.45
|
|
|
1,136
|
|
|
2.35
|
|
||
Five to ten years
|
|
141
|
|
|
1.55
|
|
|
1,062
|
|
|
2.21
|
|
||
After ten years
|
|
12
|
|
|
2.69
|
|
|
—
|
|
|
—
|
|
||
Total
|
|
179
|
|
|
1.61
|
|
|
2,198
|
|
|
2.29
|
|
||
Agency MBS: (2)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
One to five years
|
|
1
|
|
|
2.09
|
|
|
—
|
|
|
—
|
|
||
Five to ten years
|
|
16
|
|
|
2.64
|
|
|
31
|
|
|
2.09
|
|
||
After ten years
|
|
20,084
|
|
|
2.23
|
|
|
19,629
|
|
|
2.56
|
|
||
Total
|
|
20,101
|
|
|
2.23
|
|
|
19,660
|
|
|
2.56
|
|
||
States and political subdivisions: (3)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Within one year
|
|
20
|
|
|
4.96
|
|
|
—
|
|
|
—
|
|
||
One to five years
|
|
223
|
|
|
5.05
|
|
|
2
|
|
|
1.72
|
|
||
Five to ten years
|
|
446
|
|
|
4.45
|
|
|
18
|
|
|
1.28
|
|
||
After ten years
|
|
703
|
|
|
6.03
|
|
|
8
|
|
|
1.59
|
|
||
Total
|
|
1,392
|
|
|
5.35
|
|
|
28
|
|
|
1.40
|
|
||
Non-agency MBS: (2)
|
|
|
|
|
|
|
|
|
|
|
|
|
||
After ten years
|
|
576
|
|
|
18.96
|
|
|
—
|
|
|
—
|
|
||
Total
|
|
576
|
|
|
18.96
|
|
|
—
|
|
|
—
|
|
||
Other:
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Within one year
|
|
8
|
|
|
1.09
|
|
|
—
|
|
|
—
|
|
||
One to five years
|
|
—
|
|
|
—
|
|
|
1
|
|
|
2.03
|
|
||
After ten years
|
|
—
|
|
|
—
|
|
|
42
|
|
|
2.79
|
|
||
Total
|
|
8
|
|
|
1.09
|
|
|
43
|
|
|
2.78
|
|
||
Total securities
|
|
$
|
24,547
|
|
|
2.73
|
|
|
$
|
23,027
|
|
|
2.52
|
|
(1)
|
Yields represent interest computed using the effective interest method on a TE basis using marginal income tax rates and the amortized cost of the securities.
|
(2)
|
For purposes of the maturity table, MBS, which are not due at a single maturity date, have been included in maturity groupings based on the contractual maturity. The expected life of MBS will differ from contractual maturities because borrowers may have the right to call or prepay the underlying mortgage loans.
|
(3)
|
Weighted-average yield excludes the effect of pay-fixed swaps hedging municipal securities.
|
Table 11
|
||||||||||||||||||||
Quarterly Average Balances of Loans and Leases
|
||||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
For the Three Months Ended
|
||||||||||||||||||
(Dollars in millions)
|
|
12/31/2017
|
|
9/30/2017
|
|
6/30/2017
|
|
3/31/2017
|
|
12/31/2016
|
||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
58,478
|
|
|
$
|
58,211
|
|
|
$
|
58,150
|
|
|
$
|
57,125
|
|
|
$
|
57,226
|
|
CRE
|
|
20,998
|
|
|
20,776
|
|
|
20,304
|
|
|
19,892
|
|
|
19,830
|
|
|||||
Lease financing
|
|
1,851
|
|
|
1,732
|
|
|
1,664
|
|
|
1,653
|
|
|
1,570
|
|
|||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
|
28,559
|
|
|
28,924
|
|
|
29,392
|
|
|
29,701
|
|
|
30,044
|
|
|||||
Direct
|
|
11,901
|
|
|
11,960
|
|
|
12,000
|
|
|
12,014
|
|
|
12,046
|
|
|||||
Indirect
|
|
17,426
|
|
|
17,678
|
|
|
18,127
|
|
|
18,137
|
|
|
18,041
|
|
|||||
Revolving credit
|
|
2,759
|
|
|
2,668
|
|
|
2,612
|
|
|
2,607
|
|
|
2,608
|
|
|||||
PCI
|
|
689
|
|
|
742
|
|
|
825
|
|
|
883
|
|
|
974
|
|
|||||
Total loans and leases HFI
|
|
142,661
|
|
|
142,691
|
|
|
143,074
|
|
|
142,012
|
|
|
142,339
|
|
|||||
LHFS
|
|
1,428
|
|
|
1,490
|
|
|
1,253
|
|
|
1,686
|
|
|
2,230
|
|
|||||
Total loans and leases
|
|
$
|
144,089
|
|
|
$
|
144,181
|
|
|
$
|
144,327
|
|
|
$
|
143,698
|
|
|
$
|
144,569
|
|
(1)
|
Commercial and industrial loans and direct loans totaling $1.7 billion and $100 million, respectively, have been excluded from the weighted average remaining term because they are callable on demand.
|
Table 13
|
||||||||||||||||||||
Composition of Loan and Lease Portfolio
|
||||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
December 31,
|
||||||||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
59,153
|
|
|
$
|
57,739
|
|
|
$
|
53,746
|
|
|
$
|
46,110
|
|
|
$
|
42,954
|
|
CRE
|
|
21,263
|
|
|
19,764
|
|
|
18,312
|
|
|
14,128
|
|
|
13,042
|
|
|||||
Lease financing
|
|
1,911
|
|
|
1,677
|
|
|
1,535
|
|
|
1,119
|
|
|
1,125
|
|
|||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage (1)
|
|
28,725
|
|
|
29,921
|
|
|
30,533
|
|
|
31,090
|
|
|
24,648
|
|
|||||
Direct (1)
|
|
11,891
|
|
|
12,092
|
|
|
11,140
|
|
|
8,146
|
|
|
15,869
|
|
|||||
Indirect
|
|
17,235
|
|
|
18,564
|
|
|
17,053
|
|
|
15,616
|
|
|
13,841
|
|
|||||
Revolving credit
|
|
2,872
|
|
|
2,655
|
|
|
2,510
|
|
|
2,460
|
|
|
2,403
|
|
|||||
PCI
|
|
651
|
|
|
910
|
|
|
1,122
|
|
|
1,215
|
|
|
2,035
|
|
|||||
Total loans and leases HFI
|
|
143,701
|
|
|
143,322
|
|
|
135,951
|
|
|
119,884
|
|
|
115,917
|
|
|||||
LHFS
|
|
1,099
|
|
|
1,716
|
|
|
1,035
|
|
|
1,423
|
|
|
1,222
|
|
|||||
Total loans and leases
|
|
$
|
144,800
|
|
|
$
|
145,038
|
|
|
$
|
136,986
|
|
|
$
|
121,307
|
|
|
$
|
117,139
|
|
Table 14
|
||||||||||||||||
Commercial Loan Maturities and Interest Sensitivity
|
||||||||||||||||
|
||||||||||||||||
|
|
December 31, 2017
|
||||||||||||||
(Dollars in millions)
|
|
1 Year or Less
|
|
Over 1 to 5 Years
|
|
After 5 Years
|
|
Total
|
||||||||
Fixed rate:
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
|
$
|
3,325
|
|
|
$
|
7,833
|
|
|
$
|
9,433
|
|
|
$
|
20,591
|
|
CRE
|
|
442
|
|
|
2,783
|
|
|
1,992
|
|
|
5,217
|
|
||||
Lease financing
|
|
73
|
|
|
1,203
|
|
|
502
|
|
|
1,778
|
|
||||
Total fixed rate
|
|
3,840
|
|
|
11,819
|
|
|
11,927
|
|
|
27,586
|
|
||||
Variable rate:
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial and industrial
|
|
9,295
|
|
|
19,716
|
|
|
9,551
|
|
|
38,562
|
|
||||
CRE
|
|
2,305
|
|
|
9,013
|
|
|
4,728
|
|
|
16,046
|
|
||||
Lease financing
|
|
—
|
|
|
56
|
|
|
77
|
|
|
133
|
|
||||
Total variable rate
|
|
11,600
|
|
|
28,785
|
|
|
14,356
|
|
|
54,741
|
|
||||
Total commercial loans and leases
|
|
$
|
15,440
|
|
|
$
|
40,604
|
|
|
$
|
26,283
|
|
|
$
|
82,327
|
|
Table 15
|
||||||||
Rollforward of NPAs
|
||||||||
|
|
|
||||||
|
|
Year Ended December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Balance at beginning of year
|
|
$
|
813
|
|
|
$
|
686
|
|
New NPAs
|
|
1,297
|
|
|
1,716
|
|
||
Advances and principal increases
|
|
328
|
|
|
253
|
|
||
Disposals of foreclosed assets (1)
|
|
(520
|
)
|
|
(516
|
)
|
||
Disposals of NPLs (2)
|
|
(212
|
)
|
|
(302
|
)
|
||
Charge-offs and losses
|
|
(251
|
)
|
|
(279
|
)
|
||
Payments
|
|
(660
|
)
|
|
(586
|
)
|
||
Transfers to performing status
|
|
(164
|
)
|
|
(179
|
)
|
||
Foreclosed real estate, included as a result of loss share termination
|
|
—
|
|
|
17
|
|
||
Other, net
|
|
(4
|
)
|
|
3
|
|
||
Balance at end of year
|
|
$
|
627
|
|
|
$
|
813
|
|
(1)
|
Includes charge-offs and losses recorded upon sale of $236 million and $210 million for the year ended
December 31, 2017
and
2016
, respectively.
|
(2)
|
Includes charge-offs and losses recorded upon sale of $33 million and $30 million for the year ended
December 31, 2017
and
2016
, respectively.
|
Table 16
|
||||||||||||||||||||
Asset Quality
|
||||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
December 31,
|
||||||||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Nonaccrual loans and leases:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial (1)
|
|
$
|
259
|
|
|
$
|
369
|
|
|
$
|
242
|
|
|
$
|
243
|
|
|
$
|
364
|
|
CRE
|
|
45
|
|
|
57
|
|
|
51
|
|
|
100
|
|
|
164
|
|
|||||
Lease financing
|
|
1
|
|
|
4
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|||||
Residential mortgage (2)
|
|
129
|
|
|
172
|
|
|
173
|
|
|
166
|
|
|
243
|
|
|||||
Direct
|
|
64
|
|
|
63
|
|
|
43
|
|
|
48
|
|
|
109
|
|
|||||
Indirect
|
|
72
|
|
|
71
|
|
|
66
|
|
|
59
|
|
|
55
|
|
|||||
Total nonaccrual loans and leases (1)(2)
|
|
570
|
|
|
736
|
|
|
576
|
|
|
616
|
|
|
935
|
|
|||||
Foreclosed real estate
|
|
32
|
|
|
50
|
|
|
108
|
|
|
143
|
|
|
192
|
|
|||||
Other foreclosed property
|
|
25
|
|
|
27
|
|
|
28
|
|
|
23
|
|
|
47
|
|
|||||
Total NPAs (1)(2)
|
|
$
|
627
|
|
|
$
|
813
|
|
|
$
|
712
|
|
|
$
|
782
|
|
|
$
|
1,174
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Performing TDRs:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
50
|
|
|
$
|
57
|
|
|
$
|
50
|
|
|
$
|
65
|
|
|
$
|
78
|
|
CRE
|
|
16
|
|
|
25
|
|
|
29
|
|
|
57
|
|
|
89
|
|
|||||
Residential mortgage (3)(4)
|
|
605
|
|
|
769
|
|
|
604
|
|
|
621
|
|
|
1,161
|
|
|||||
Direct (4)
|
|
62
|
|
|
67
|
|
|
72
|
|
|
84
|
|
|
187
|
|
|||||
Indirect
|
|
281
|
|
|
240
|
|
|
194
|
|
|
182
|
|
|
142
|
|
|||||
Revolving credit
|
|
29
|
|
|
29
|
|
|
33
|
|
|
41
|
|
|
48
|
|
|||||
Total performing TDRs (3)(4)
|
|
$
|
1,043
|
|
|
$
|
1,187
|
|
|
$
|
982
|
|
|
$
|
1,050
|
|
|
$
|
1,705
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans 90 days or more past due and still accruing:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial and industrial
|
|
$
|
1
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5
|
|
CRE
|
|
1
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Residential mortgage
|
|
465
|
|
|
522
|
|
|
541
|
|
|
731
|
|
|
876
|
|
|||||
Direct
|
|
6
|
|
|
6
|
|
|
7
|
|
|
12
|
|
|
33
|
|
|||||
Indirect
|
|
6
|
|
|
6
|
|
|
5
|
|
|
5
|
|
|
5
|
|
|||||
Revolving credit
|
|
12
|
|
|
12
|
|
|
10
|
|
|
9
|
|
|
10
|
|
|||||
PCI
|
|
57
|
|
|
90
|
|
|
114
|
|
|
188
|
|
|
304
|
|
|||||
Total loans 90 days or more past due and still accruing
|
|
$
|
548
|
|
|
$
|
636
|
|
|
$
|
677
|
|
|
$
|
945
|
|
|
$
|
1,233
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans 30-89 days past due and still accruing:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial and industrial
|
|
$
|
41
|
|
|
$
|
44
|
|
|
$
|
53
|
|
|
$
|
37
|
|
|
$
|
50
|
|
CRE
|
|
8
|
|
|
8
|
|
|
22
|
|
|
5
|
|
|
10
|
|
|||||
Lease financing
|
|
4
|
|
|
4
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|||||
Residential mortgage
|
|
472
|
|
|
525
|
|
|
475
|
|
|
474
|
|
|
546
|
|
|||||
Direct
|
|
65
|
|
|
60
|
|
|
58
|
|
|
41
|
|
|
132
|
|
|||||
Indirect
|
|
412
|
|
|
377
|
|
|
358
|
|
|
285
|
|
|
262
|
|
|||||
Revolving credit
|
|
23
|
|
|
23
|
|
|
22
|
|
|
23
|
|
|
23
|
|
|||||
PCI
|
|
27
|
|
|
36
|
|
|
42
|
|
|
33
|
|
|
88
|
|
|||||
Total loans 30-89 days past due and still accruing
|
|
$
|
1,052
|
|
|
$
|
1,077
|
|
|
$
|
1,031
|
|
|
$
|
898
|
|
|
$
|
1,111
|
|
(1)
|
During 2016, approximately $191 million of nonaccrual energy-related loans were sold.
|
(2)
|
During 2017 and 2014, approximately $61 million and $121 million, respectively, of nonaccrual residential mortgage loans were sold.
|
(3)
|
During 2017 and 2014, approximately $331 million and $540 million, respectively, of performing residential mortgage TDRs were sold.
|
(4)
|
During 2014, approximately $94 million of performing TDRs were transferred from direct lending to residential mortgage.
|
Table 17
|
||||||||||||||
Asset Quality Ratios
|
||||||||||||||
|
|
|||||||||||||
|
As Of / For The Year Ended December 31,
|
|||||||||||||
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|||||
Asset Quality Ratios:
|
|
|
|
|
|
|
|
|
|
|||||
Loans 30-89 days past due and still accruing as a percentage of loans and leases HFI
|
0.73
|
%
|
|
0.75
|
%
|
|
0.76
|
%
|
|
0.75
|
%
|
|
0.96
|
%
|
Loans 90 days or more past due and still accruing as a percentage of loans and leases HFI
|
0.38
|
|
|
0.44
|
|
|
0.50
|
|
|
0.79
|
|
|
1.06
|
|
NPLs as a percentage of loans and leases HFI
|
0.40
|
|
|
0.51
|
|
|
0.42
|
|
|
0.51
|
|
|
0.81
|
|
NPAs as a percentage of:
|
|
|
|
|
|
|
|
|
|
|||||
Total assets
|
0.28
|
|
|
0.37
|
|
|
0.34
|
|
|
0.42
|
|
|
0.64
|
|
Loans and leases HFI plus foreclosed property
|
0.44
|
|
|
0.57
|
|
|
0.52
|
|
|
0.65
|
|
|
1.01
|
|
Net charge-offs as a percentage of average loans and leases HFI
|
0.38
|
|
|
0.38
|
|
|
0.35
|
|
|
0.46
|
|
|
0.69
|
|
ALLL as a percentage of loans and leases HFI
|
1.04
|
|
|
1.04
|
|
|
1.07
|
|
|
1.23
|
|
|
1.49
|
|
Ratio of ALLL to:
|
|
|
|
|
|
|
|
|
|
|||||
Net charge-offs
|
2.78
|
x
|
|
2.80
|
x
|
|
3.36
|
x
|
|
2.74
|
x
|
|
2.19
|
x
|
NPLs
|
2.62
|
|
|
2.03
|
|
|
2.53
|
|
|
2.39
|
|
|
1.85
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Asset Quality Ratios (Excluding Government Guaranteed and PCI): (1)
|
|
|
|
|
|
|
|
|
|
|
|
|||
Loans 90 days or more past due and still accruing as a percentage of loans and leases HFI
|
0.05
|
%
|
|
0.07
|
%
|
|
0.06
|
%
|
|
0.09
|
%
|
|
0.11
|
%
|
(1)
|
These asset quality ratios have been adjusted to remove the impact of government guaranteed and PCI assets. Appropriate adjustments to the numerator and denominator have been reflected in the calculation of these ratios.
|
Table 19
|
|||||||||||||||||||||||||
Payment Status of TDRs
|
|||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||
|
|
December 31, 2017
|
|||||||||||||||||||||||
(Dollars in millions)
|
|
Current
|
|
Past Due 30-89 Days
|
|
Past Due 90 Days Or More
|
|
Total
|
|||||||||||||||||
Performing TDRs (1):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Commercial and industrial
|
|
$
|
50
|
|
|
100.0
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
50
|
|
CRE
|
|
16
|
|
|
100.0
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16
|
|
||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
||||
Residential mortgage
|
|
315
|
|
|
52.1
|
|
|
111
|
|
|
18.3
|
|
|
179
|
|
|
29.6
|
|
|
605
|
|
||||
Direct
|
|
58
|
|
|
93.5
|
|
|
4
|
|
|
6.5
|
|
|
—
|
|
|
—
|
|
|
62
|
|
||||
Indirect
|
|
229
|
|
|
81.5
|
|
|
52
|
|
|
18.5
|
|
|
—
|
|
|
—
|
|
|
281
|
|
||||
Revolving credit
|
|
24
|
|
|
82.8
|
|
|
4
|
|
|
13.8
|
|
|
1
|
|
|
3.4
|
|
|
29
|
|
||||
Total performing TDRs
|
|
692
|
|
|
66.3
|
|
|
171
|
|
|
16.4
|
|
|
180
|
|
|
17.3
|
|
|
1,043
|
|
||||
Nonperforming TDRs (2)
|
|
88
|
|
|
46.6
|
|
|
29
|
|
|
15.3
|
|
|
72
|
|
|
38.1
|
|
|
189
|
|
||||
Total TDRs
|
|
$
|
780
|
|
|
63.3
|
|
|
$
|
200
|
|
|
16.2
|
|
|
$
|
252
|
|
|
20.5
|
|
|
$
|
1,232
|
|
(1)
|
Past due performing TDRs are included in past due disclosures.
|
(2)
|
Nonperforming TDRs are included in NPL disclosures.
|
Table 20
|
||||||||||||||||||||
Analysis of ACL
|
||||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
Year Ended December 31,
|
||||||||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Beginning balance
|
|
$
|
1,599
|
|
|
$
|
1,550
|
|
|
$
|
1,534
|
|
|
$
|
1,821
|
|
|
$
|
2,048
|
|
Provision for credit losses (excluding PCI)
|
|
562
|
|
|
574
|
|
|
430
|
|
|
280
|
|
|
587
|
|
|||||
Provision for PCI loans
|
|
(15
|
)
|
|
(2
|
)
|
|
(2
|
)
|
|
(29
|
)
|
|
5
|
|
|||||
Charge-offs:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
|
(95
|
)
|
|
(143
|
)
|
|
(90
|
)
|
|
(143
|
)
|
|
(257
|
)
|
|||||
CRE
|
|
(10
|
)
|
|
(9
|
)
|
|
(24
|
)
|
|
(42
|
)
|
|
(132
|
)
|
|||||
Lease financing
|
|
(5
|
)
|
|
(6
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Residential mortgage (1)
|
|
(47
|
)
|
|
(40
|
)
|
|
(46
|
)
|
|
(84
|
)
|
|
(81
|
)
|
|||||
Direct (1)
|
|
(61
|
)
|
|
(53
|
)
|
|
(54
|
)
|
|
(69
|
)
|
|
(148
|
)
|
|||||
Indirect
|
|
(402
|
)
|
|
(366
|
)
|
|
(303
|
)
|
|
(280
|
)
|
|
(269
|
)
|
|||||
Revolving credit
|
|
(76
|
)
|
|
(69
|
)
|
|
(70
|
)
|
|
(71
|
)
|
|
(85
|
)
|
|||||
PCI
|
|
(1
|
)
|
|
(15
|
)
|
|
(1
|
)
|
|
(21
|
)
|
|
(19
|
)
|
|||||
Total charge-offs
|
|
(697
|
)
|
|
(701
|
)
|
|
(588
|
)
|
|
(710
|
)
|
|
(991
|
)
|
|||||
Recoveries:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial and industrial
|
|
36
|
|
|
44
|
|
|
38
|
|
|
45
|
|
|
49
|
|
|||||
CRE
|
|
16
|
|
|
19
|
|
|
18
|
|
|
33
|
|
|
51
|
|
|||||
Lease financing
|
|
2
|
|
|
2
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|||||
Residential mortgage (1)
|
|
2
|
|
|
3
|
|
|
3
|
|
|
7
|
|
|
3
|
|
|||||
Direct (1)
|
|
25
|
|
|
26
|
|
|
29
|
|
|
29
|
|
|
38
|
|
|||||
Indirect
|
|
60
|
|
|
55
|
|
|
44
|
|
|
39
|
|
|
40
|
|
|||||
Revolving credit
|
|
19
|
|
|
20
|
|
|
20
|
|
|
19
|
|
|
17
|
|
|||||
Total recoveries
|
|
160
|
|
|
169
|
|
|
152
|
|
|
172
|
|
|
199
|
|
|||||
Net charge-offs
|
|
(537
|
)
|
|
(532
|
)
|
|
(436
|
)
|
|
(538
|
)
|
|
(792
|
)
|
|||||
Other changes, net
|
|
—
|
|
|
9
|
|
|
24
|
|
|
—
|
|
|
(27
|
)
|
|||||
Ending balance
|
|
$
|
1,609
|
|
|
$
|
1,599
|
|
|
$
|
1,550
|
|
|
$
|
1,534
|
|
|
$
|
1,821
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
ALLL (excluding PCI loans)
|
|
$
|
1,462
|
|
|
$
|
1,445
|
|
|
$
|
1,399
|
|
|
$
|
1,410
|
|
|
$
|
1,618
|
|
Allowance for PCI loans
|
|
28
|
|
|
44
|
|
|
61
|
|
|
64
|
|
|
114
|
|
|||||
RUFC
|
|
119
|
|
|
110
|
|
|
90
|
|
|
60
|
|
|
89
|
|
|||||
Total ACL
|
|
$
|
1,609
|
|
|
$
|
1,599
|
|
|
$
|
1,550
|
|
|
$
|
1,534
|
|
|
$
|
1,821
|
|
(1)
|
During the first quarter of 2014, $8.3 billion of loans were transferred from direct lending to residential mortgage. Charge-offs and recoveries have been reflected in these line items based upon the date the loans were transferred.
|
Table 21
|
|||||||||||||||||||||||||||||||||||
Allocation of ALLL by Category
|
|||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||
|
|
December 31,
|
|||||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||||||||||||
(Dollars in millions)
|
|
Amount
|
|
% Loans in each category
|
|
Amount
|
|
% Loans in each category
|
|
Amount
|
|
% Loans in each category
|
|
Amount
|
|
% Loans in each category
|
|
Amount
|
|
% Loans in each category
|
|||||||||||||||
Balances at end of period applicable to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
$
|
522
|
|
|
41.1
|
%
|
|
$
|
530
|
|
|
40.3
|
%
|
|
$
|
488
|
|
|
39.6
|
%
|
|
$
|
445
|
|
|
38.5
|
%
|
|
$
|
475
|
|
|
37.0
|
%
|
CRE
|
|
160
|
|
|
14.8
|
|
|
145
|
|
|
13.8
|
|
|
175
|
|
|
13.5
|
|
|
212
|
|
|
11.8
|
|
|
227
|
|
|
11.3
|
|
|||||
Lease financing
|
|
9
|
|
|
1.3
|
|
|
7
|
|
|
1.2
|
|
|
5
|
|
|
1.1
|
|
|
4
|
|
|
0.9
|
|
|
7
|
|
|
1.0
|
|
|||||
Residential mortgage (1)
|
|
209
|
|
|
20.0
|
|
|
227
|
|
|
20.8
|
|
|
217
|
|
|
22.4
|
|
|
253
|
|
|
25.9
|
|
|
331
|
|
|
21.3
|
|
|||||
Direct (1)
|
|
106
|
|
|
8.3
|
|
|
103
|
|
|
8.4
|
|
|
105
|
|
|
8.2
|
|
|
110
|
|
|
6.8
|
|
|
209
|
|
|
13.7
|
|
|||||
Indirect
|
|
348
|
|
|
12.0
|
|
|
327
|
|
|
13.0
|
|
|
305
|
|
|
12.6
|
|
|
276
|
|
|
13.0
|
|
|
254
|
|
|
11.9
|
|
|||||
Revolving credit
|
|
108
|
|
|
2.0
|
|
|
106
|
|
|
1.9
|
|
|
104
|
|
|
1.8
|
|
|
110
|
|
|
2.1
|
|
|
115
|
|
|
2.1
|
|
|||||
PCI
|
|
28
|
|
|
0.5
|
|
|
44
|
|
|
0.6
|
|
|
61
|
|
|
0.8
|
|
|
64
|
|
|
1.0
|
|
|
114
|
|
|
1.7
|
|
|||||
Total ALLL
|
|
1,490
|
|
|
100.0
|
%
|
|
1,489
|
|
|
100.0
|
%
|
|
1,460
|
|
|
100.0
|
%
|
|
1,474
|
|
|
100.0
|
%
|
|
1,732
|
|
|
100.0
|
%
|
|||||
RUFC
|
|
119
|
|
|
|
|
|
110
|
|
|
|
|
|
90
|
|
|
|
|
|
60
|
|
|
|
|
|
89
|
|
|
|
|
|||||
Total ACL
|
|
$
|
1,609
|
|
|
|
|
|
$
|
1,599
|
|
|
|
|
|
$
|
1,550
|
|
|
|
|
|
$
|
1,534
|
|
|
|
|
|
$
|
1,821
|
|
|
|
(1)
|
During the first quarter of 2014, $8.3 billion in loans were transferred from direct to residential mortgage.
|
Table 22
|
||||||||||||||||||||
Quarterly Composition of Average Deposits
|
||||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
For the Three Months Ended
|
||||||||||||||||||
(Dollars in millions)
|
|
12/31/2017
|
|
9/30/2017
|
|
6/30/2017
|
|
3/31/2017
|
|
12/31/2016
|
||||||||||
Noninterest-bearing deposits
|
|
$
|
54,288
|
|
|
$
|
53,489
|
|
|
$
|
52,573
|
|
|
$
|
51,095
|
|
|
$
|
51,421
|
|
Interest checking
|
|
26,746
|
|
|
27,000
|
|
|
28,849
|
|
|
29,578
|
|
|
28,634
|
|
|||||
Money market and savings
|
|
61,693
|
|
|
61,450
|
|
|
64,294
|
|
|
64,857
|
|
|
63,884
|
|
|||||
Time deposits
|
|
13,744
|
|
|
13,794
|
|
|
14,088
|
|
|
14,924
|
|
|
15,693
|
|
|||||
Foreign office deposits - interest-bearing
|
|
1,488
|
|
|
1,681
|
|
|
459
|
|
|
929
|
|
|
486
|
|
|||||
Total average deposits
|
|
$
|
157,959
|
|
|
$
|
157,414
|
|
|
$
|
160,263
|
|
|
$
|
161,383
|
|
|
$
|
160,118
|
|
Table 24
|
||||||||||||
Short-Term Borrowings
|
||||||||||||
|
|
|
||||||||||
|
|
As Of / For The Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Securities Sold Under Agreements to Repurchase:
|
|
|
|
|
|
|
||||||
Maximum outstanding at any month-end during the year
|
|
$
|
1,923
|
|
|
$
|
2,265
|
|
|
$
|
1,327
|
|
Balance outstanding at end of year
|
|
483
|
|
|
970
|
|
|
617
|
|
|||
Average outstanding during the year
|
|
1,449
|
|
|
1,600
|
|
|
901
|
|
|||
Average interest rate during the year
|
|
0.70
|
%
|
|
0.37
|
%
|
|
0.23
|
%
|
|||
Average interest rate at end of year
|
|
0.43
|
|
|
0.52
|
|
|
0.70
|
|
|||
|
|
|
|
|
|
|
||||||
Federal Funds Purchased and Short-Term Borrowed Funds:
|
|
|
|
|
|
|
|
|
|
|||
Maximum outstanding at any month-end during the year
|
|
$
|
6,859
|
|
|
$
|
3,003
|
|
|
$
|
4,041
|
|
Balance outstanding at end of year
|
|
4,455
|
|
|
436
|
|
|
2,976
|
|
|||
Average outstanding during the year
|
|
2,862
|
|
|
954
|
|
|
2,320
|
|
|||
Average interest rate during the year
|
|
1.06
|
%
|
|
0.30
|
%
|
|
0.11
|
%
|
|||
Average interest rate at end of year
|
|
1.34
|
|
|
0.71
|
|
|
0.32
|
|
•
|
First Line of Defense
: Risk management begins with the BUs, the point at which risk is originated and where risks must be managed. Business unit managers in the first line identify, assess, control and report their group’s risk profile compared to its approved risk limits.
|
•
|
Second Line of Defense
: The RMO provides independent oversight and guidance of risk-taking across the enterprise. The RMO aggregates, integrates, and correlates risk information into a holistic picture of the corporation’s risk profile and concentrations. The RMO establishes policies and limits and reports sources and amounts of risk to Executive Management and the Board of Directors.
|
•
|
Third Line of Defense
: Audit Services (BB&T’s internal audit function) evaluates the design and effectiveness of the risk management framework and its results. Results are reported to Executive Management and the Board of Directors according to Audit Services Policy.
|
Risk Committees
|
Board of Directors
|
Executive Management
|
||
|
|
|
||
1
st
Line of Defense
|
2
nd
Line of Defense
|
3
rd
Line of Defense
|
||
Business Units
|
Risk Functions
|
Audit Services
|
||
|
|
|
||
Chief Risk Officer
|
•
|
limiting the amount of credit that individual lenders may extend to a borrower;
|
•
|
establishing a process for credit approval accountability;
|
•
|
careful initial underwriting and analysis of borrower, transaction, market and collateral risks;
|
•
|
ongoing servicing and monitoring of individual loans and lending relationships;
|
•
|
continuous monitoring of the portfolio, market dynamics and the economy; and
|
•
|
periodically reevaluating the bank’s strategy and overall exposure as economic, market and other relevant conditions change.
|
•
|
Cash flow and debt service coverage
—cash flow adequacy is a necessary condition of creditworthiness, meaning that loans must either be clearly supported by a borrower’s cash flow or, if not, must be justified by secondary repayment sources.
|
•
|
Secondary sources of repayment
—alternative repayment funds are a significant risk-mitigating factor as long as they are liquid, can be easily accessed and provide adequate resources to supplement the primary cash flow source.
|
•
|
Value of any underlying collateral
—loans are generally secured by the asset being financed. Because an analysis of the primary and secondary sources of repayment is the most important factor, collateral, unless it is liquid, does not justify loans that cannot be serviced by the borrower’s normal cash flows.
|
•
|
Overall creditworthiness of the customer, taking into account the customer’s relationships, both past and current, with BB&T and other lenders
—BB&T’s success depends on building lasting and mutually beneficial relationships with clients, which involves assessing their financial position and background.
|
•
|
Level of equity invested in the transaction
—in general, borrowers are required to contribute or invest a portion of their own funds prior to any loan advances.
|
Table 25
|
||||||||||||
Interest Sensitivity Simulation Analysis
|
||||||||||||
|
|
|
||||||||||
Interest Rate Scenario
|
|
Annualized Hypothetical Percentage Change in Net Interest Income
|
||||||||||
|
|
Prime Rate
|
|
|||||||||
Linear Change in Prime Rate
|
|
December 31,
|
|
December 31,
|
||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|||||
Up 200 bps
|
|
6.50
|
%
|
|
5.75
|
%
|
|
3.09
|
%
|
|
3.13
|
%
|
Up 100
|
|
5.50
|
|
|
4.75
|
|
|
2.07
|
|
|
2.14
|
|
No Change
|
|
4.50
|
|
|
3.75
|
|
|
—
|
|
|
—
|
|
Down 25
|
|
4.25
|
|
|
3.50
|
|
|
(1.06
|
)
|
|
(0.93
|
)
|
Down 100
|
|
3.50
|
|
|
2.75
|
|
|
(6.62
|
)
|
|
NA
|
|
•
|
Maximum negative impact on net interest income of 2% for the next 12 months assuming a 25 basis point change in interest rates each month for four months followed by a flat interest rate scenario for the remaining eight month period.
|
•
|
Maximum negative impact on net interest income of 4% for the next 12 months assuming a 25 basis point change in interest rates each month for eight months followed by a flat interest rate scenario for the remaining four month period.
|
Table 26
|
|||||||||
Deposit Mix Sensitivity Analysis
|
|||||||||
|
|
|
|
|
|||||
Increase in Rates
|
|
Base Scenario at December 31, 2017 (1)
|
|
Results Assuming a Decrease in Noninterest-Bearing Demand Deposits
|
|||||
|
|
$1 Billion
|
|
$5 Billion
|
|||||
Up 200 bps
|
|
3.09
|
%
|
|
2.88
|
%
|
|
2.04
|
%
|
Up 100
|
|
2.07
|
|
|
1.94
|
|
|
1.42
|
|
(1)
|
The base scenario is equal to the annualized hypothetical percentage change in net interest income at
December 31, 2017
as presented in the preceding table.
|
Table 27
|
||||||||||||
EVE Simulation Analysis
|
||||||||||||
|
|
|
|
|
||||||||
|
|
EVE/Assets
|
|
Hypothetical Percentage Change in EVE
|
||||||||
|
|
December 31,
|
|
December 31,
|
||||||||
Change in Rates
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||
Up 200 bps
|
|
11.4
|
%
|
|
11.6
|
%
|
|
(5.1
|
)%
|
|
1.3
|
%
|
Up 100
|
|
11.9
|
|
|
11.7
|
|
|
(0.9
|
)
|
|
1.8
|
|
No Change
|
|
12.0
|
|
|
11.5
|
|
|
—
|
|
|
—
|
|
Down 25
|
|
11.9
|
|
|
11.3
|
|
|
(0.7
|
)
|
|
(1.1
|
)
|
Down 100
|
|
11.1
|
|
|
NA
|
|
|
(7.7
|
)
|
|
NA
|
|
Table 28
|
|||||||
Credit Ratings of BB&T Corporation and Branch Bank
|
|||||||
December 31, 2017
|
|||||||
|
|
|
|
|
|
|
|
|
S&P
|
|
Moody's
|
|
Fitch
|
|
DBRS
|
BB&T Corporation:
|
|
|
|
|
|
|
|
Commercial Paper
|
A-2
|
|
N/A
|
|
F1
|
|
R-1(low)
|
Issuer
|
A-
|
|
A2
|
|
A+
|
|
A(high)
|
LT/Senior debt
|
A-
|
|
A2
|
|
A+
|
|
A(high)
|
Subordinated debt
|
BBB+
|
|
A2
|
|
A
|
|
A
|
Preferred stock
|
BBB-
|
|
Baa1(hyb)
|
|
BBB-
|
|
BBB(high)
|
|
|
|
|
|
|
|
|
Branch Bank:
|
|
|
|
|
|
|
|
Long term deposits
|
N/A
|
|
Aa1
|
|
AA-
|
|
AA(low)
|
LT/Senior unsecured bank notes
|
A
|
|
A1
|
|
A+
|
|
AA(low)
|
Other long term senior obligations
|
A
|
|
N/A
|
|
A+
|
|
AA(low)
|
Other short term senior obligations
|
A-1
|
|
N/A
|
|
F1
|
|
R-1(middle)
|
Short term bank notes
|
A-1
|
|
P-1
|
|
F1
|
|
R-1(middle)
|
Short term deposits
|
N/A
|
|
P-1
|
|
F1+
|
|
R-1(middle)
|
Subordinated bank notes
|
A-
|
|
A2
|
|
A
|
|
A(high)
|
|
|
|
|
|
|
|
|
Ratings Outlook:
|
|
|
|
|
|
|
|
Credit Trend
|
Stable
|
|
Stable
|
|
Stable
|
|
Stable
|
Table 29
|
||||||||||||||||||||
Contractual Obligations and Other Commitments
|
||||||||||||||||||||
December 31, 2017
|
||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
(Dollars in millions)
|
|
Total
|
|
Less than 1 Year
|
|
1 to 3 Years
|
|
3 to 5 Years
|
|
After 5 Years
|
||||||||||
Long-term debt and capital leases
|
|
$
|
23,559
|
|
|
$
|
2,446
|
|
|
$
|
10,845
|
|
|
$
|
6,107
|
|
|
$
|
4,161
|
|
Operating leases
|
|
1,511
|
|
|
255
|
|
|
427
|
|
|
320
|
|
|
509
|
|
|||||
Commitments to fund affordable housing investments
|
|
928
|
|
|
536
|
|
|
349
|
|
|
20
|
|
|
23
|
|
|||||
Private equity and other investments commitments (1)
|
|
143
|
|
|
39
|
|
|
69
|
|
|
28
|
|
|
7
|
|
|||||
Time deposits
|
|
13,170
|
|
|
8,379
|
|
|
3,804
|
|
|
970
|
|
|
17
|
|
|||||
Contractual interest payments (2)
|
|
3,004
|
|
|
751
|
|
|
1,113
|
|
|
560
|
|
|
580
|
|
|||||
Purchase obligations (3)
|
|
1,335
|
|
|
608
|
|
|
544
|
|
|
160
|
|
|
23
|
|
|||||
Nonqualified benefit plan obligations (4)
|
|
1,020
|
|
|
15
|
|
|
31
|
|
|
33
|
|
|
941
|
|
|||||
Total contractual cash obligations
|
|
$
|
44,670
|
|
|
$
|
13,029
|
|
|
$
|
17,182
|
|
|
$
|
8,198
|
|
|
$
|
6,261
|
|
(1)
|
Based on estimated payment dates.
|
(2)
|
Includes accrued interest, future contractual interest obligations and the impact of hedges in a loss position. Other derivatives are excluded. Variable rate payments are based upon the rate in effect at
December 31, 2017
.
|
(3)
|
Represents obligations to purchase goods or services that are enforceable and legally binding. Many of the purchase obligations have terms that are not fixed and determinable and are included in the table above based upon the estimated timing and amount of payment. In addition, certain of the purchase agreements contain clauses that would allow BB&T to cancel the agreement with specified notice; however, that impact is not included in the table above.
|
(4)
|
Although technically unfunded plans, Rabbi Trusts and insurance policies on the lives of certain of the covered employees are available to finance future benefit plan payments.
|
Table 30
|
||||||||||||
Mortgage Indemnification, Recourse and Repurchase Reserves Activity (1)
|
||||||||||||
|
|
|
||||||||||
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Balance, at beginning of period
|
|
$
|
40
|
|
|
$
|
79
|
|
|
$
|
94
|
|
Payments
|
|
—
|
|
|
(2
|
)
|
|
(5
|
)
|
|||
Expense
|
|
(3
|
)
|
|
(37
|
)
|
|
(15
|
)
|
|||
Acquisitions
|
|
—
|
|
|
—
|
|
|
5
|
|
|||
Balance, at end of period
|
|
$
|
37
|
|
|
$
|
40
|
|
|
$
|
79
|
|
(1)
|
Excludes the FHA-insured mortgage loan reserve of $85 million established during 2014 and settled in 2016.
|
Table 32
|
||||||||||||||||||
Capital Requirements Under Basel III
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Minimum Capital
|
|
Well-Capitalized
|
|
Minimum Capital Plus Capital Conservation Buffer
|
|
BB&T Target
|
||||||||||
|
|
|
|
2017
|
|
2018
|
|
2019 (1)
|
|
|||||||||
CET1 to risk-weighted assets
|
|
4.5
|
%
|
|
6.5
|
%
|
|
5.750
|
%
|
|
6.375
|
%
|
|
7.000
|
%
|
|
8.5
|
%
|
Tier 1 capital to risk-weighted assets
|
|
6.0
|
|
|
8.0
|
|
|
7.250
|
|
|
7.875
|
|
|
8.500
|
|
|
10.0
|
|
Total capital to risk-weighted assets
|
|
8.0
|
|
|
10.0
|
|
|
9.250
|
|
|
9.875
|
|
|
10.500
|
|
|
12.0
|
|
Leverage ratio
|
|
4.0
|
|
|
5.0
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
8.0
|
|
(1)
|
BB&T's goal is to maintain capital levels above the 2019 requirements.
|
Table 34
|
||||||||
Capital Ratios - BB&T Corporation
|
||||||||
|
|
|
||||||
|
|
December 31,
|
||||||
(Dollars in millions, except per share data, shares in thousands)
|
|
2017
|
|
2016
|
||||
Risk-based:
|
|
|
|
|
||||
CET1
|
|
10.2
|
%
|
|
10.2
|
%
|
||
Tier 1
|
|
11.9
|
|
|
12.0
|
|
||
Total
|
|
13.9
|
|
|
14.1
|
|
||
Leverage capital
|
|
9.9
|
|
|
10.0
|
|
||
|
|
|
|
|
||||
Non-GAAP capital measures (1):
|
|
|
|
|
|
|
||
Tangible common equity per common share
|
|
$
|
20.80
|
|
|
$
|
20.18
|
|
|
|
|
|
|
||||
Calculations of tangible common equity (1):
|
|
|
|
|
||||
Total shareholders' equity
|
|
$
|
29,695
|
|
|
$
|
29,926
|
|
Less:
|
|
|
|
|
||||
Preferred stock
|
|
3,053
|
|
|
3,053
|
|
||
Noncontrolling interests
|
|
47
|
|
|
45
|
|
||
Intangible assets
|
|
10,329
|
|
|
10,492
|
|
||
Tangible common equity
|
|
$
|
16,266
|
|
|
$
|
16,336
|
|
|
|
|
|
|
||||
Risk-weighted assets
|
|
$
|
177,217
|
|
|
$
|
176,138
|
|
Common shares outstanding at end of period
|
|
782,006
|
|
|
809,475
|
|
(1)
|
Tangible common equity and related ratios are non-GAAP measures. Management uses these measures to assess the quality of capital and believes that investors may find them useful in their analysis of the Company. These capital measures are not necessarily comparable to similar capital measures that may be presented by other companies.
|
Table 35
|
||||||||||||||||||||||||||||||||
Quarterly Financial Summary – Unaudited
|
||||||||||||||||||||||||||||||||
|
|
|
|
|
||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
||||||||||||||||||||||||||||
(Dollars in millions, except per share data)
|
|
Fourth Quarter
|
|
Third Quarter
|
|
Second Quarter
|
|
First Quarter
|
|
Fourth Quarter
|
|
Third Quarter
|
|
Second Quarter
|
|
First Quarter
|
||||||||||||||||
Consolidated Summary of Operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Interest income
|
|
$
|
1,898
|
|
|
$
|
1,877
|
|
|
$
|
1,824
|
|
|
$
|
1,775
|
|
|
$
|
1,745
|
|
|
$
|
1,795
|
|
|
$
|
1,805
|
|
|
$
|
1,721
|
|
Interest expense
|
|
254
|
|
|
230
|
|
|
189
|
|
|
166
|
|
|
180
|
|
|
185
|
|
|
188
|
|
|
192
|
|
||||||||
Provision for credit losses
|
|
138
|
|
|
126
|
|
|
135
|
|
|
148
|
|
|
129
|
|
|
148
|
|
|
111
|
|
|
184
|
|
||||||||
Noninterest income
|
|
1,225
|
|
|
1,166
|
|
|
1,220
|
|
|
1,171
|
|
|
1,162
|
|
|
1,164
|
|
|
1,130
|
|
|
1,016
|
|
||||||||
Noninterest expense
|
|
1,855
|
|
|
1,745
|
|
|
1,742
|
|
|
2,102
|
|
|
1,668
|
|
|
1,711
|
|
|
1,797
|
|
|
1,545
|
|
||||||||
Provision for income taxes
|
|
209
|
|
|
294
|
|
|
304
|
|
|
104
|
|
|
287
|
|
|
273
|
|
|
252
|
|
|
246
|
|
||||||||
Net income
|
|
667
|
|
|
648
|
|
|
674
|
|
|
426
|
|
|
643
|
|
|
642
|
|
|
587
|
|
|
570
|
|
||||||||
Noncontrolling interest
|
|
9
|
|
|
8
|
|
|
(1
|
)
|
|
5
|
|
|
7
|
|
|
—
|
|
|
3
|
|
|
6
|
|
||||||||
Preferred stock dividends
|
|
44
|
|
|
43
|
|
|
44
|
|
|
43
|
|
|
44
|
|
|
43
|
|
|
43
|
|
|
37
|
|
||||||||
Net income available to common shareholders
|
|
$
|
614
|
|
|
$
|
597
|
|
|
$
|
631
|
|
|
$
|
378
|
|
|
$
|
592
|
|
|
$
|
599
|
|
|
$
|
541
|
|
|
$
|
527
|
|
Basic EPS
|
|
$
|
0.78
|
|
|
$
|
0.75
|
|
|
$
|
0.78
|
|
|
$
|
0.47
|
|
|
$
|
0.73
|
|
|
$
|
0.74
|
|
|
$
|
0.67
|
|
|
$
|
0.67
|
|
Diluted EPS
|
|
$
|
0.77
|
|
|
$
|
0.74
|
|
|
$
|
0.77
|
|
|
$
|
0.46
|
|
|
$
|
0.72
|
|
|
$
|
0.73
|
|
|
$
|
0.66
|
|
|
$
|
0.67
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Selected Average Balances:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Assets
|
|
$
|
222,525
|
|
|
$
|
220,732
|
|
|
$
|
221,018
|
|
|
$
|
219,961
|
|
|
$
|
220,165
|
|
|
$
|
222,065
|
|
|
$
|
223,399
|
|
|
$
|
210,102
|
|
Securities, at amortized cost
|
|
48,093
|
|
|
45,968
|
|
|
45,410
|
|
|
44,607
|
|
|
44,881
|
|
|
47,152
|
|
|
48,510
|
|
|
44,580
|
|
||||||||
Loans and leases (1)
|
|
144,089
|
|
|
144,181
|
|
|
144,327
|
|
|
143,698
|
|
|
144,569
|
|
|
143,689
|
|
|
143,097
|
|
|
135,628
|
|
||||||||
Total earning assets
|
|
195,305
|
|
|
193,073
|
|
|
193,386
|
|
|
192,564
|
|
|
192,574
|
|
|
193,909
|
|
|
194,822
|
|
|
183,612
|
|
||||||||
Deposits
|
|
157,959
|
|
|
157,414
|
|
|
160,263
|
|
|
161,383
|
|
|
160,118
|
|
|
159,503
|
|
|
160,338
|
|
|
149,867
|
|
||||||||
Short-term borrowings
|
|
6,342
|
|
|
5,983
|
|
|
2,748
|
|
|
2,105
|
|
|
2,373
|
|
|
2,128
|
|
|
2,951
|
|
|
2,771
|
|
||||||||
Long-term debt
|
|
22,639
|
|
|
21,459
|
|
|
21,767
|
|
|
20,757
|
|
|
21,563
|
|
|
23,428
|
|
|
23,272
|
|
|
22,907
|
|
||||||||
Total interest-bearing liabilities
|
|
132,652
|
|
|
131,367
|
|
|
132,205
|
|
|
133,150
|
|
|
132,633
|
|
|
134,500
|
|
|
137,760
|
|
|
129,342
|
|
||||||||
Shareholders' equity
|
|
29,853
|
|
|
29,948
|
|
|
30,302
|
|
|
29,903
|
|
|
30,054
|
|
|
29,916
|
|
|
29,610
|
|
|
27,826
|
|
(1)
|
Loans and leases are net of unearned income and include LHFS.
|
Loss Estimate Factor
|
|
Description
|
Loss Frequency
|
|
Indicates the likelihood of a borrower defaulting on a loan
|
Loss Severity
|
|
Indicates the amount of estimated loss at the time of default
|
CONSOLIDATED BALANCE SHEETS
|
||||||||
BB&T CORPORATION AND SUBSIDIARIES
|
||||||||
|
|
|
||||||
|
|
December 31,
|
||||||
(Dollars in millions, except per share data, shares in thousands)
|
|
2017
|
|
2016
|
||||
Assets
|
|
|
|
|
||||
Cash and due from banks
|
|
$
|
2,243
|
|
|
$
|
1,897
|
|
Interest-bearing deposits with banks
|
|
343
|
|
|
1,895
|
|
||
Cash equivalents
|
|
127
|
|
|
144
|
|
||
Restricted cash
|
|
370
|
|
|
488
|
|
||
AFS securities at fair value
|
|
24,547
|
|
|
26,926
|
|
||
HTM securities (fair value of $22,837 and $16,546 at December 31, 2017 and 2016, respectively)
|
|
23,027
|
|
|
16,680
|
|
||
LHFS at fair value
|
|
1,099
|
|
|
1,716
|
|
||
Loans and leases
|
|
143,701
|
|
|
143,322
|
|
||
ALLL
|
|
(1,490
|
)
|
|
(1,489
|
)
|
||
Loans and leases, net of ALLL
|
|
142,211
|
|
|
141,833
|
|
||
Premises and equipment
|
|
2,055
|
|
|
2,107
|
|
||
Goodwill
|
|
9,618
|
|
|
9,638
|
|
||
CDI and other intangible assets
|
|
711
|
|
|
854
|
|
||
MSRs at fair value
|
|
1,056
|
|
|
1,052
|
|
||
Other assets
|
|
14,235
|
|
|
14,046
|
|
||
Total assets
|
|
$
|
221,642
|
|
|
$
|
219,276
|
|
|
|
|
|
|
||||
Liabilities and Shareholders’ Equity
|
|
|
|
|
||||
Deposits:
|
|
|
|
|
||||
Noninterest-bearing deposits
|
|
$
|
53,767
|
|
|
$
|
50,697
|
|
Interest-bearing deposits
|
|
103,604
|
|
|
109,537
|
|
||
Total deposits
|
|
157,371
|
|
|
160,234
|
|
||
Short-term borrowings
|
|
4,938
|
|
|
1,406
|
|
||
Long-term debt
|
|
23,648
|
|
|
21,965
|
|
||
Accounts payable and other liabilities
|
|
5,990
|
|
|
5,745
|
|
||
Total liabilities
|
|
191,947
|
|
|
189,350
|
|
||
Commitments and contingencies (Note 13)
|
|
|
|
|
||||
Shareholders’ equity:
|
|
|
|
|
||||
Preferred stock, $5 par, liquidation preference of $25,000 per share
|
|
3,053
|
|
|
3,053
|
|
||
Common stock, $5 par
|
|
3,910
|
|
|
4,047
|
|
||
Additional paid-in capital
|
|
7,893
|
|
|
9,104
|
|
||
Retained earnings
|
|
16,259
|
|
|
14,809
|
|
||
AOCI, net of deferred income taxes
|
|
(1,467
|
)
|
|
(1,132
|
)
|
||
Noncontrolling interests
|
|
47
|
|
|
45
|
|
||
Total shareholders’ equity
|
|
29,695
|
|
|
29,926
|
|
||
Total liabilities and shareholders’ equity
|
|
$
|
221,642
|
|
|
$
|
219,276
|
|
|
|
|
|
|
||||
Common shares outstanding
|
|
782,006
|
|
|
809,475
|
|
||
Common shares authorized
|
|
2,000,000
|
|
|
2,000,000
|
|
||
Preferred shares outstanding
|
|
126
|
|
|
126
|
|
||
Preferred shares authorized
|
|
5,000
|
|
|
5,000
|
|
CONSOLIDATED STATEMENTS OF INCOME
|
||||||||||||
BB&T CORPORATION AND SUBSIDIARIES
|
||||||||||||
|
|
|
||||||||||
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions, except per share data, shares in thousands)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Interest Income
|
|
|
|
|
|
|
||||||
Interest and fees on loans and leases
|
|
$
|
6,230
|
|
|
$
|
5,985
|
|
|
$
|
5,347
|
|
Interest and dividends on securities
|
|
1,092
|
|
|
1,029
|
|
|
941
|
|
|||
Interest on other earning assets
|
|
52
|
|
|
52
|
|
|
39
|
|
|||
Total interest income
|
|
7,374
|
|
|
7,066
|
|
|
6,327
|
|
|||
Interest Expense
|
|
|
|
|
|
|
||||||
Interest on deposits
|
|
344
|
|
|
251
|
|
|
233
|
|
|||
Interest on short-term borrowings
|
|
41
|
|
|
9
|
|
|
4
|
|
|||
Interest on long-term debt
|
|
454
|
|
|
485
|
|
|
498
|
|
|||
Total interest expense
|
|
839
|
|
|
745
|
|
|
735
|
|
|||
Net Interest Income
|
|
6,535
|
|
|
6,321
|
|
|
5,592
|
|
|||
Provision for credit losses
|
|
547
|
|
|
572
|
|
|
428
|
|
|||
Net Interest Income After Provision for Credit Losses
|
|
5,988
|
|
|
5,749
|
|
|
5,164
|
|
|||
Noninterest Income
|
|
|
|
|
|
|
||||||
Insurance income
|
|
1,754
|
|
|
1,713
|
|
|
1,596
|
|
|||
Service charges on deposits
|
|
706
|
|
|
664
|
|
|
631
|
|
|||
Mortgage banking income
|
|
415
|
|
|
463
|
|
|
455
|
|
|||
Investment banking and brokerage fees and commissions
|
|
410
|
|
|
408
|
|
|
398
|
|
|||
Trust and investment advisory revenues
|
|
278
|
|
|
266
|
|
|
240
|
|
|||
Bankcard fees and merchant discounts
|
|
271
|
|
|
237
|
|
|
218
|
|
|||
Checkcard fees
|
|
214
|
|
|
195
|
|
|
174
|
|
|||
Operating lease income
|
|
146
|
|
|
137
|
|
|
124
|
|
|||
Income from bank-owned life insurance
|
|
122
|
|
|
123
|
|
|
113
|
|
|||
FDIC loss share income, net
|
|
—
|
|
|
(142
|
)
|
|
(253
|
)
|
|||
Other income
|
|
467
|
|
|
362
|
|
|
326
|
|
|||
Securities gains (losses), net
|
|
|
|
|
|
|
||||||
Gross realized gains
|
|
17
|
|
|
46
|
|
|
41
|
|
|||
Gross realized losses
|
|
(18
|
)
|
|
—
|
|
|
(40
|
)
|
|||
OTTI charges
|
|
—
|
|
|
—
|
|
|
(2
|
)
|
|||
Non-credit portion recognized in OCI
|
|
—
|
|
|
—
|
|
|
(2
|
)
|
|||
Total securities gains (losses), net
|
|
(1
|
)
|
|
46
|
|
|
(3
|
)
|
|||
Total noninterest income
|
|
4,782
|
|
|
4,472
|
|
|
4,019
|
|
|||
Noninterest Expense
|
|
|
|
|
|
|
||||||
Personnel expense
|
|
4,121
|
|
|
3,964
|
|
|
3,469
|
|
|||
Occupancy and equipment expense
|
|
784
|
|
|
786
|
|
|
708
|
|
|||
Software expense
|
|
242
|
|
|
224
|
|
|
192
|
|
|||
Outside IT services
|
|
160
|
|
|
186
|
|
|
135
|
|
|||
Regulatory charges
|
|
153
|
|
|
145
|
|
|
101
|
|
|||
Amortization of intangibles
|
|
142
|
|
|
150
|
|
|
105
|
|
|||
Loan-related expense
|
|
130
|
|
|
95
|
|
|
150
|
|
|||
Professional services
|
|
123
|
|
|
102
|
|
|
130
|
|
|||
Merger-related and restructuring charges, net
|
|
115
|
|
|
171
|
|
|
165
|
|
|||
Loss (gain) on early extinguishment of debt
|
|
392
|
|
|
(1
|
)
|
|
172
|
|
|||
Other expense
|
|
1,082
|
|
|
899
|
|
|
939
|
|
|||
Total noninterest expense
|
|
7,444
|
|
|
6,721
|
|
|
6,266
|
|
|||
Earnings
|
|
|
|
|
|
|
||||||
Income before income taxes
|
|
3,326
|
|
|
3,500
|
|
|
2,917
|
|
|||
Provision for income taxes
|
|
911
|
|
|
1,058
|
|
|
794
|
|
|||
Net income
|
|
2,415
|
|
|
2,442
|
|
|
2,123
|
|
|||
Noncontrolling interests
|
|
21
|
|
|
16
|
|
|
39
|
|
|||
Dividends on preferred stock
|
|
174
|
|
|
167
|
|
|
148
|
|
|||
Net income available to common shareholders
|
|
$
|
2,220
|
|
|
$
|
2,259
|
|
|
$
|
1,936
|
|
Basic EPS
|
|
$
|
2.78
|
|
|
$
|
2.81
|
|
|
$
|
2.59
|
|
Diluted EPS
|
|
$
|
2.74
|
|
|
$
|
2.77
|
|
|
$
|
2.56
|
|
Cash dividends declared per share
|
|
$
|
1.26
|
|
|
$
|
1.15
|
|
|
$
|
1.05
|
|
Basic weighted average shares outstanding
|
|
799,217
|
|
|
804,680
|
|
|
748,010
|
|
|||
Diluted weighted average shares outstanding
|
|
810,977
|
|
|
814,916
|
|
|
757,765
|
|
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
|
||||||||||||
BB&T CORPORATION AND SUBSIDIARIES
|
||||||||||||
|
|
|
||||||||||
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Net Income
|
|
$
|
2,415
|
|
|
$
|
2,442
|
|
|
$
|
2,123
|
|
OCI, Net of Tax:
|
|
|
|
|
|
|
||||||
Change in unrecognized net pension and postretirement costs
|
|
(84
|
)
|
|
(41
|
)
|
|
(97
|
)
|
|||
Change in unrealized net gains (losses) on cash flow hedges
|
|
18
|
|
|
(9
|
)
|
|
(29
|
)
|
|||
Change in unrealized net gains (losses) on AFS securities
|
|
(27
|
)
|
|
(225
|
)
|
|
(186
|
)
|
|||
Change in FDIC's share of unrealized gains/losses on AFS securities
|
|
—
|
|
|
169
|
|
|
38
|
|
|||
Other, net
|
|
5
|
|
|
2
|
|
|
(3
|
)
|
|||
Total OCI
|
|
(88
|
)
|
|
(104
|
)
|
|
(277
|
)
|
|||
Total comprehensive income
|
|
$
|
2,327
|
|
|
$
|
2,338
|
|
|
$
|
1,846
|
|
|
|
|
|
|
|
|
||||||
Income Tax Effect of Items Included in OCI:
|
|
|
|
|
|
|
|
|||||
Change in unrecognized net pension and postretirement costs
|
|
$
|
(15
|
)
|
|
$
|
(20
|
)
|
|
$
|
(59
|
)
|
Change in unrealized net gains (losses) on cash flow hedges
|
|
7
|
|
|
(4
|
)
|
|
(18
|
)
|
|||
Change in unrealized net gains (losses) on AFS securities
|
|
(27
|
)
|
|
(130
|
)
|
|
(120
|
)
|
|||
Change in FDIC 's share of unrealized gains/losses on AFS securities
|
|
—
|
|
|
98
|
|
|
25
|
|
|||
Other, net
|
|
—
|
|
|
1
|
|
|
3
|
|
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
|
|||||||||||||||||||||||||||||||
BB&T CORPORATION AND SUBSIDIARIES
|
|||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
(Dollars in millions, shares in thousands)
|
|
Shares of Common Stock
|
|
Preferred Stock
|
|
Common Stock
|
|
Additional Paid-In Capital
|
|
Retained Earnings
|
|
AOCI
|
|
Noncontrolling Interests
|
|
Total Shareholders' Equity
|
|||||||||||||||
Balance, January 1, 2015
|
|
720,698
|
|
|
$
|
2,603
|
|
|
$
|
3,603
|
|
|
$
|
6,517
|
|
|
$
|
12,317
|
|
|
$
|
(751
|
)
|
|
$
|
88
|
|
|
$
|
24,377
|
|
Add (Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,084
|
|
|
—
|
|
|
39
|
|
|
2,123
|
|
|||||||
OCI
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(277
|
)
|
|
—
|
|
|
(277
|
)
|
|||||||
Stock transactions:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Issued in business combinations
|
|
54,000
|
|
|
—
|
|
|
270
|
|
|
1,918
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,188
|
|
|||||||
Issued in connection with equity awards, net
|
|
5,639
|
|
|
—
|
|
|
29
|
|
|
33
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
62
|
|
|||||||
Excess tax benefits in connection with equity awards
|
|
—
|
|
|
—
|
|
|
—
|
|
|
11
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
11
|
|
|||||||
Purchase of additional ownership interest in AmRisc, LP
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(219
|
)
|
|
—
|
|
|
—
|
|
|
(3
|
)
|
|
(222
|
)
|
|||||||
Cash dividends declared on common stock
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(789
|
)
|
|
—
|
|
|
—
|
|
|
(789
|
)
|
|||||||
Cash dividends declared on preferred stock
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(148
|
)
|
|
—
|
|
|
—
|
|
|
(148
|
)
|
|||||||
Equity-based compensation expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
106
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
106
|
|
|||||||
Other, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
—
|
|
|
—
|
|
|
(90
|
)
|
|
(91
|
)
|
|||||||
Balance, December 31, 2015
|
|
780,337
|
|
|
2,603
|
|
|
3,902
|
|
|
8,365
|
|
|
13,464
|
|
|
(1,028
|
)
|
|
34
|
|
|
27,340
|
|
|||||||
Add (Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,426
|
|
|
—
|
|
|
16
|
|
|
2,442
|
|
|||||||
OCI
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(104
|
)
|
|
—
|
|
|
(104
|
)
|
|||||||
Stock transactions:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Issued in business combination
|
|
31,665
|
|
|
—
|
|
|
158
|
|
|
905
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,063
|
|
|||||||
Issued in connection with equity awards, net
|
|
9,241
|
|
|
—
|
|
|
46
|
|
|
174
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
220
|
|
|||||||
Excess tax benefits in connection with equity awards
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7
|
|
|||||||
Issued in connection with preferred stock offering
|
|
—
|
|
|
450
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
450
|
|
|||||||
Repurchase of common stock
|
|
(11,768
|
)
|
|
—
|
|
|
(59
|
)
|
|
(461
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(520
|
)
|
|||||||
Cash dividends declared on common stock
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(925
|
)
|
|
—
|
|
|
—
|
|
|
(925
|
)
|
|||||||
Cash dividends declared on preferred stock
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(167
|
)
|
|
—
|
|
|
—
|
|
|
(167
|
)
|
|||||||
Equity-based compensation expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
115
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
115
|
|
|||||||
Other, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
11
|
|
|
—
|
|
|
(5
|
)
|
|
5
|
|
|||||||
Balance, December 31, 2016
|
|
809,475
|
|
|
3,053
|
|
|
4,047
|
|
|
9,104
|
|
|
14,809
|
|
|
(1,132
|
)
|
|
45
|
|
|
29,926
|
|
|||||||
Add (Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,394
|
|
|
—
|
|
|
21
|
|
|
2,415
|
|
|||||||
OCI
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(88
|
)
|
|
—
|
|
|
(88
|
)
|
|||||||
Stock transactions:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Issued in connection with equity awards, net
|
|
8,059
|
|
|
—
|
|
|
41
|
|
|
79
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
120
|
|
|||||||
Repurchase of common stock
|
|
(35,528
|
)
|
|
—
|
|
|
(178
|
)
|
|
(1,435
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,613
|
)
|
|||||||
Cash dividends declared on common stock
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,005
|
)
|
|
—
|
|
|
—
|
|
|
(1,005
|
)
|
|||||||
Cash dividends declared on preferred stock
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(174
|
)
|
|
—
|
|
|
—
|
|
|
(174
|
)
|
|||||||
Equity-based compensation expense
|
|
—
|
|
|
—
|
|
|
—
|
|
|
132
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
132
|
|
|||||||
Reclassification of certain tax effects
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
247
|
|
|
(247
|
)
|
|
—
|
|
|
—
|
|
|||||||
Other, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13
|
|
|
(12
|
)
|
|
—
|
|
|
(19
|
)
|
|
(18
|
)
|
|||||||
Balance, December 31, 2017
|
|
782,006
|
|
|
$
|
3,053
|
|
|
$
|
3,910
|
|
|
$
|
7,893
|
|
|
$
|
16,259
|
|
|
$
|
(1,467
|
)
|
|
$
|
47
|
|
|
$
|
29,695
|
|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
||||||||||||
BB&T CORPORATION AND SUBSIDIARIES
|
||||||||||||
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Cash Flows From Operating Activities:
|
|
|
|
|
|
|
||||||
Net income
|
|
$
|
2,415
|
|
|
$
|
2,442
|
|
|
$
|
2,123
|
|
Adjustments to reconcile net income to net cash from operating activities:
|
|
|
|
|
|
|
||||||
Provision for credit losses
|
|
547
|
|
|
572
|
|
|
428
|
|
|||
Depreciation
|
|
408
|
|
|
405
|
|
|
356
|
|
|||
Loss (gain) on early extinguishment of debt
|
|
392
|
|
|
(1
|
)
|
|
172
|
|
|||
Amortization of intangibles
|
|
142
|
|
|
150
|
|
|
105
|
|
|||
Equity-based compensation expense
|
|
132
|
|
|
115
|
|
|
106
|
|
|||
(Gain) loss on securities, net
|
|
1
|
|
|
(46
|
)
|
|
3
|
|
|||
Net change in operating assets and liabilities:
|
|
|
|
|
|
|
||||||
LHFS
|
|
618
|
|
|
(644
|
)
|
|
422
|
|
|||
Trading securities
|
|
115
|
|
|
432
|
|
|
(698
|
)
|
|||
Other assets, accounts payable and other liabilities
|
|
(15
|
)
|
|
(18
|
)
|
|
(14
|
)
|
|||
Cash paid to terminate FDIC loss share agreements
|
|
—
|
|
|
(230
|
)
|
|
—
|
|
|||
Other, net
|
|
(120
|
)
|
|
(62
|
)
|
|
128
|
|
|||
Net cash from operating activities
|
|
4,635
|
|
|
3,115
|
|
|
3,131
|
|
|||
Cash Flows From Investing Activities:
|
|
|
|
|
|
|
||||||
Proceeds from sales of AFS securities
|
|
4,934
|
|
|
4,612
|
|
|
6,302
|
|
|||
Proceeds from maturities, calls and paydowns of AFS securities
|
|
4,800
|
|
|
5,888
|
|
|
5,064
|
|
|||
Purchases of AFS securities
|
|
(7,397
|
)
|
|
(10,033
|
)
|
|
(12,698
|
)
|
|||
Proceeds from maturities, calls and paydowns of HTM securities
|
|
2,580
|
|
|
7,022
|
|
|
3,791
|
|
|||
Purchases of HTM securities
|
|
(8,965
|
)
|
|
(5,124
|
)
|
|
(2,557
|
)
|
|||
Originations and purchases of loans and leases, net of principal collected
|
|
(1,230
|
)
|
|
(2,986
|
)
|
|
(3,196
|
)
|
|||
Net cash received (paid) for acquisitions and divestitures
|
|
—
|
|
|
(785
|
)
|
|
1,055
|
|
|||
Other, net
|
|
(31
|
)
|
|
398
|
|
|
390
|
|
|||
Net cash from investing activities
|
|
(5,309
|
)
|
|
(1,008
|
)
|
|
(1,849
|
)
|
|||
Cash Flows From Financing Activities:
|
|
|
|
|
|
|
||||||
Net change in deposits
|
|
(2,842
|
)
|
|
4,507
|
|
|
2,506
|
|
|||
Net change in short-term borrowings
|
|
3,532
|
|
|
(3,581
|
)
|
|
(982
|
)
|
|||
Proceeds from issuance of long-term debt
|
|
8,883
|
|
|
3,878
|
|
|
2,272
|
|
|||
Repayment of long-term debt
|
|
(7,453
|
)
|
|
(5,849
|
)
|
|
(2,433
|
)
|
|||
Repurchase of common stock
|
|
(1,613
|
)
|
|
(520
|
)
|
|
—
|
|
|||
Net cash from common stock transactions in connection with equity awards
|
|
108
|
|
|
218
|
|
|
68
|
|
|||
Net proceeds from preferred stock issued
|
|
—
|
|
|
450
|
|
|
—
|
|
|||
Cash dividends paid on common stock
|
|
(1,005
|
)
|
|
(925
|
)
|
|
(789
|
)
|
|||
Cash dividends paid on preferred stock
|
|
(174
|
)
|
|
(167
|
)
|
|
(148
|
)
|
|||
Other, net
|
|
15
|
|
|
107
|
|
|
(390
|
)
|
|||
Net cash from financing activities
|
|
(549
|
)
|
|
(1,882
|
)
|
|
104
|
|
|||
Net Change in Cash and Cash Equivalents
|
|
(1,223
|
)
|
|
225
|
|
|
1,386
|
|
|||
Cash and Cash Equivalents at Beginning of Period
|
|
3,936
|
|
|
3,711
|
|
|
2,325
|
|
|||
Cash and Cash Equivalents at End of Period
|
|
$
|
2,713
|
|
|
$
|
3,936
|
|
|
$
|
3,711
|
|
|
|
|
|
|
|
|
||||||
Supplemental Disclosure of Cash Flow Information:
|
|
|
|
|
|
|
||||||
Cash paid during the period for:
|
|
|
|
|
|
|
||||||
Interest
|
|
$
|
819
|
|
|
$
|
775
|
|
|
$
|
734
|
|
Income taxes
|
|
429
|
|
|
844
|
|
|
655
|
|
|||
Noncash investing and financing activities:
|
|
|
|
|
|
|
||||||
Transfers of loans to foreclosed assets
|
|
260
|
|
|
258
|
|
|
320
|
|
|||
Transfers of loans HFI to LHFS
|
|
1,050
|
|
|
263
|
|
|
153
|
|
|||
Stock issued in acquisitions
|
|
—
|
|
|
1,063
|
|
|
2,188
|
|
|||
Purchase of additional interest in AmRisc, LP
|
|
—
|
|
|
—
|
|
|
216
|
|
|||
Transfer of HTM securities to AFS
|
|
—
|
|
|
—
|
|
|
517
|
|
(dollars in millions)
|
|
2016
|
|
2015
|
||||
Net cash from operating activities
|
|
$
|
443
|
|
|
$
|
216
|
|
Net cash from investing activities
|
|
(326
|
)
|
|
(211
|
)
|
||
Net cash from financing activities
|
|
(117
|
)
|
|
(5
|
)
|
||
Net change in cash and cash equivalents
|
|
$
|
—
|
|
|
$
|
—
|
|
(number of days)
|
|
Placed on Nonaccrual (1)
|
|
Charge-off
|
||||
Commercial:
|
|
|
|
|
|
|
|
|
Commercial and industrial
|
|
90
|
(2)
|
|
|
90
|
|
|
CRE
|
|
90
|
(2)
|
|
|
90
|
|
|
Lease financing
|
|
90
|
(2)
|
|
|
90
|
|
|
Retail:
|
|
|
|
|
|
|
|
|
Residential mortgage (3)
|
|
90
|
to
|
180
|
|
90
|
to
|
210
|
Direct (3)
|
|
90
|
to
|
120
|
|
90
|
to
|
120
|
Indirect (3)
|
|
90
|
to
|
120
|
|
90
|
to
|
120
|
Revolving credit (3)
|
|
NA
|
|
|
|
90
|
to
|
180
|
(1)
|
Loans may be returned to accrual status when they become current as to both principal and interest and concern no longer exists as to the collectability of principal and interest, generally indicated by
180 days
of sustained performance.
|
(2)
|
Or when it is probable that principal or interest is not fully collectible, whichever occurs first.
|
(3)
|
Depends on product type, loss mitigation status and status of the government guaranty.
|
Risk Rating
|
|
Description
|
Pass
|
|
Loans not considered to be problem credits
|
Special Mention
|
|
Loans that have a potential weakness deserving management’s close attention
|
Substandard
|
|
Loans for which a well-defined weakness has been identified that may put full collection of contractual cash flows at risk
|
Standard/
Adoption Date
|
Description
|
Effects on the Financial Statements
|
Standards Adopted During the Current Period
|
||
Stock Compensation
Jan 1, 2017
|
Eliminated the concept of additional paid-in capital pools for equity-based awards and requires that the related excess tax benefits/deficiencies be recognized in earnings. Allows a one-time policy election to account for forfeitures when they occur. Permits tax withholding up to the maximum statutory tax rate to retain equity classification.
|
BB&T has elected the one-time policy to account for forfeitures when they occur. See "Note 11. Income Taxes" for additional information.
|
Reclassification of Certain Tax Effects
Dec 31, 2017
|
Requires a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act.
|
Deferred taxes within AOCI of $247 million were reclassified to retained earnings in 2017.
|
Standards Not Yet Adopted
|
||
Revenue from Contracts with Customers
Jan 1, 2018
|
Requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services.
|
Does not have a material impact. BB&T will adopt this guidance using the modified retrospective approach.
|
Derivatives and Hedging
Jan 1, 2019
|
Expands the risk management activities that qualify for hedge accounting, and simplifies certain hedge documentation and assessment requirements. Eliminates the concept of separately recording hedge ineffectiveness, and expands disclosure requirements.
|
BB&T is currently evaluating the impact. BB&T may elect to adopt this guidance prior to January 1, 2019.
|
Leases
Jan 1, 2019
|
Requires lessees to recognize assets and liabilities related to certain operating leases on the balance sheet, requires additional disclosures by lessees, and contains targeted changes to accounting by lessors.
|
BB&T expects assets and liabilities will likely be significantly higher. Implementation efforts are on-going, including implementation of software solutions.
|
Credit Losses
Jan 1, 2020
|
Replaces the incurred loss impairment methodology with an expected credit loss methodology and requires consideration of a broader range of information to determine credit loss estimates. Financial assets measured at amortized cost will be presented at the net amount expected to be collected by using an allowance for credit losses. Purchased credit deteriorated loans will receive an allowance for expected credit losses. Any credit impairment on AFS debt securities for which the fair value is less than cost will be recorded through an allowance for expected credit losses.
|
BB&T expects that the ACL could be materially higher; however, the magnitude of the increase and its impact has not yet been quantified and depends on economic conditions at the time of adoption. The standard also requires expanded disclosures related to credit losses and asset quality.
|
December 31, 2017
|
|
Amortized Cost
|
|
Gross Unrealized
|
|
Fair Value
|
||||||||||
(Dollars in millions)
|
|
|
Gains
|
|
Losses
|
|
||||||||||
AFS securities:
|
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury
|
|
$
|
2,368
|
|
|
$
|
—
|
|
|
$
|
77
|
|
|
$
|
2,291
|
|
GSE
|
|
187
|
|
|
—
|
|
|
8
|
|
|
179
|
|
||||
Agency MBS
|
|
20,683
|
|
|
8
|
|
|
590
|
|
|
20,101
|
|
||||
States and political subdivisions
|
|
1,379
|
|
|
37
|
|
|
24
|
|
|
1,392
|
|
||||
Non-agency MBS
|
|
384
|
|
|
192
|
|
|
—
|
|
|
576
|
|
||||
Other
|
|
8
|
|
|
—
|
|
|
—
|
|
|
8
|
|
||||
Total AFS securities
|
|
$
|
25,009
|
|
|
$
|
237
|
|
|
$
|
699
|
|
|
$
|
24,547
|
|
|
|
|
|
|
|
|
|
|
||||||||
HTM securities:
|
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury
|
|
$
|
1,098
|
|
|
$
|
8
|
|
|
$
|
—
|
|
|
$
|
1,106
|
|
GSE
|
|
2,198
|
|
|
11
|
|
|
22
|
|
|
2,187
|
|
||||
Agency MBS
|
|
19,660
|
|
|
33
|
|
|
222
|
|
|
19,471
|
|
||||
States and political subdivisions
|
|
28
|
|
|
—
|
|
|
—
|
|
|
28
|
|
||||
Other
|
|
43
|
|
|
2
|
|
|
—
|
|
|
45
|
|
||||
Total HTM securities
|
|
$
|
23,027
|
|
|
$
|
54
|
|
|
$
|
244
|
|
|
$
|
22,837
|
|
December 31, 2016
|
|
Amortized Cost
|
|
Gross Unrealized
|
|
Fair Value
|
||||||||||
(Dollars in millions)
|
|
|
Gains
|
|
Losses
|
|
||||||||||
AFS securities:
|
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury
|
|
$
|
2,669
|
|
|
$
|
2
|
|
|
$
|
84
|
|
|
$
|
2,587
|
|
GSE
|
|
190
|
|
|
—
|
|
|
10
|
|
|
180
|
|
||||
Agency MBS
|
|
21,819
|
|
|
13
|
|
|
568
|
|
|
21,264
|
|
||||
States and political subdivisions
|
|
2,198
|
|
|
56
|
|
|
49
|
|
|
2,205
|
|
||||
Non-agency MBS
|
|
446
|
|
|
233
|
|
|
—
|
|
|
679
|
|
||||
Other
|
|
11
|
|
|
—
|
|
|
—
|
|
|
11
|
|
||||
Total AFS securities
|
|
$
|
27,333
|
|
|
$
|
304
|
|
|
$
|
711
|
|
|
$
|
26,926
|
|
|
|
|
|
|
|
|
|
|
||||||||
HTM securities:
|
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury
|
|
$
|
1,098
|
|
|
$
|
20
|
|
|
$
|
—
|
|
|
$
|
1,118
|
|
GSE
|
|
2,197
|
|
|
14
|
|
|
30
|
|
|
2,181
|
|
||||
Agency MBS
|
|
13,225
|
|
|
40
|
|
|
180
|
|
|
13,085
|
|
||||
States and political subdivisions
|
|
110
|
|
|
—
|
|
|
—
|
|
|
110
|
|
||||
Other
|
|
50
|
|
|
2
|
|
|
—
|
|
|
52
|
|
||||
Total HTM securities
|
|
$
|
16,680
|
|
|
$
|
76
|
|
|
$
|
210
|
|
|
$
|
16,546
|
|
|
|
AFS
|
|
HTM
|
||||||||||||
December 31, 2017
|
|
Amortized Cost
|
|
Fair Value
|
|
Amortized Cost
|
|
Fair Value
|
||||||||
(Dollars in millions)
|
|
|
|
|
||||||||||||
Due in one year or less
|
|
$
|
336
|
|
|
$
|
335
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Due after one year through five years
|
|
498
|
|
|
496
|
|
|
2,237
|
|
|
2,242
|
|
||||
Due after five years through ten years
|
|
2,419
|
|
|
2,341
|
|
|
1,111
|
|
|
1,103
|
|
||||
Due after ten years
|
|
21,756
|
|
|
21,375
|
|
|
19,679
|
|
|
19,492
|
|
||||
Total debt securities
|
|
$
|
25,009
|
|
|
$
|
24,547
|
|
|
$
|
23,027
|
|
|
$
|
22,837
|
|
|
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
||||||||||||||||||
December 31, 2017
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
(Dollars in millions)
|
|
|
|
|
|
|
||||||||||||||||||
AFS securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Treasury
|
|
$
|
634
|
|
|
$
|
4
|
|
|
$
|
1,655
|
|
|
$
|
73
|
|
|
$
|
2,289
|
|
|
$
|
77
|
|
GSE
|
|
9
|
|
|
—
|
|
|
170
|
|
|
8
|
|
|
179
|
|
|
8
|
|
||||||
Agency MBS
|
|
5,077
|
|
|
64
|
|
|
13,920
|
|
|
526
|
|
|
18,997
|
|
|
590
|
|
||||||
States and political subdivisions
|
|
201
|
|
|
1
|
|
|
355
|
|
|
23
|
|
|
556
|
|
|
24
|
|
||||||
Total
|
|
$
|
5,921
|
|
|
$
|
69
|
|
|
$
|
16,100
|
|
|
$
|
630
|
|
|
$
|
22,021
|
|
|
$
|
699
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
HTM securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
GSE
|
|
$
|
1,470
|
|
|
$
|
12
|
|
|
$
|
290
|
|
|
$
|
10
|
|
|
$
|
1,760
|
|
|
$
|
22
|
|
Agency MBS
|
|
10,880
|
|
|
77
|
|
|
4,631
|
|
|
145
|
|
|
15,511
|
|
|
222
|
|
||||||
Total
|
|
$
|
12,350
|
|
|
$
|
89
|
|
|
$
|
4,921
|
|
|
$
|
155
|
|
|
$
|
17,271
|
|
|
$
|
244
|
|
|
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
||||||||||||||||||
December 31, 2016
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
(Dollars in millions)
|
|
|
|
|
|
|
||||||||||||||||||
AFS securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Treasury
|
|
$
|
2,014
|
|
|
$
|
84
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2,014
|
|
|
$
|
84
|
|
GSE
|
|
180
|
|
|
10
|
|
|
—
|
|
|
—
|
|
|
180
|
|
|
10
|
|
||||||
Agency MBS
|
|
14,842
|
|
|
342
|
|
|
5,138
|
|
|
226
|
|
|
19,980
|
|
|
568
|
|
||||||
States and political subdivisions
|
|
365
|
|
|
7
|
|
|
314
|
|
|
42
|
|
|
679
|
|
|
49
|
|
||||||
Total
|
|
$
|
17,401
|
|
|
$
|
443
|
|
|
$
|
5,452
|
|
|
$
|
268
|
|
|
$
|
22,853
|
|
|
$
|
711
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
HTM securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
GSE
|
|
$
|
1,762
|
|
|
$
|
30
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,762
|
|
|
$
|
30
|
|
Agency MBS
|
|
7,717
|
|
|
178
|
|
|
305
|
|
|
2
|
|
|
8,022
|
|
|
180
|
|
||||||
Total
|
|
$
|
9,479
|
|
|
$
|
208
|
|
|
$
|
305
|
|
|
$
|
2
|
|
|
$
|
9,784
|
|
|
$
|
210
|
|
|
|
Accruing
|
|
|
|
|
||||||||||||||
December 31, 2017
|
|
Current
|
|
30-89 Days Past Due
|
|
90 Days Or More Past Due
|
|
Nonaccrual
|
|
Total
|
||||||||||
(Dollars in millions)
|
|
|
|
|
|
|||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
58,852
|
|
|
$
|
41
|
|
|
$
|
1
|
|
|
$
|
259
|
|
|
$
|
59,153
|
|
CRE
|
|
21,209
|
|
|
8
|
|
|
1
|
|
|
45
|
|
|
21,263
|
|
|||||
Lease financing
|
|
1,906
|
|
|
4
|
|
|
—
|
|
|
1
|
|
|
1,911
|
|
|||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
|
27,659
|
|
|
472
|
|
|
465
|
|
|
129
|
|
|
28,725
|
|
|||||
Direct
|
|
11,756
|
|
|
65
|
|
|
6
|
|
|
64
|
|
|
11,891
|
|
|||||
Indirect
|
|
16,745
|
|
|
412
|
|
|
6
|
|
|
72
|
|
|
17,235
|
|
|||||
Revolving credit
|
|
2,837
|
|
|
23
|
|
|
12
|
|
|
—
|
|
|
2,872
|
|
|||||
PCI
|
|
567
|
|
|
27
|
|
|
57
|
|
|
—
|
|
|
651
|
|
|||||
Total
|
|
$
|
141,531
|
|
|
$
|
1,052
|
|
|
$
|
548
|
|
|
$
|
570
|
|
|
$
|
143,701
|
|
|
|
Accruing
|
|
|
|
|
||||||||||||||
December 31, 2016
|
|
Current
|
|
30-89 Days Past Due
|
|
90 Days Or More Past Due
|
|
Nonaccrual
|
|
Total
|
||||||||||
(Dollars in millions)
|
|
|
|
|
|
|||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
$
|
57,326
|
|
|
$
|
44
|
|
|
$
|
—
|
|
|
$
|
369
|
|
|
$
|
57,739
|
|
CRE
|
|
19,699
|
|
|
8
|
|
|
—
|
|
|
57
|
|
|
19,764
|
|
|||||
Lease financing
|
|
1,669
|
|
|
4
|
|
|
—
|
|
|
4
|
|
|
1,677
|
|
|||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Residential mortgage
|
|
28,702
|
|
|
525
|
|
|
522
|
|
|
172
|
|
|
29,921
|
|
|||||
Direct
|
|
11,963
|
|
|
60
|
|
|
6
|
|
|
63
|
|
|
12,092
|
|
|||||
Indirect
|
|
18,110
|
|
|
377
|
|
|
6
|
|
|
71
|
|
|
18,564
|
|
|||||
Revolving credit
|
|
2,620
|
|
|
23
|
|
|
12
|
|
|
—
|
|
|
2,655
|
|
|||||
PCI
|
|
784
|
|
|
36
|
|
|
90
|
|
|
—
|
|
|
910
|
|
|||||
Total
|
|
$
|
140,873
|
|
|
$
|
1,077
|
|
|
$
|
636
|
|
|
$
|
736
|
|
|
$
|
143,322
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
|
|
Commercial & Industrial
|
|
CRE
|
|
Lease financing
|
|
Commercial & Industrial
|
|
CRE
|
|
Lease financing
|
||||||||||||
(Dollars in millions)
|
|
|
|
|
|
|
||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass
|
|
$
|
57,700
|
|
|
$
|
20,862
|
|
|
$
|
1,881
|
|
|
$
|
55,881
|
|
|
$
|
19,186
|
|
|
$
|
1,641
|
|
Special mention
|
|
268
|
|
|
48
|
|
|
6
|
|
|
343
|
|
|
162
|
|
|
4
|
|
||||||
Substandard-performing
|
|
926
|
|
|
308
|
|
|
23
|
|
|
1,146
|
|
|
359
|
|
|
28
|
|
||||||
Nonperforming
|
|
259
|
|
|
45
|
|
|
1
|
|
|
369
|
|
|
57
|
|
|
4
|
|
||||||
Total
|
|
$
|
59,153
|
|
|
$
|
21,263
|
|
|
$
|
1,911
|
|
|
$
|
57,739
|
|
|
$
|
19,764
|
|
|
$
|
1,677
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
Residential Mortgage
|
|
Direct
|
|
Indirect
|
|
Residential Mortgage
|
|
Direct
|
|
Indirect
|
||||||||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Performing
|
|
$
|
28,596
|
|
|
$
|
11,827
|
|
|
$
|
17,163
|
|
|
$
|
29,749
|
|
|
$
|
12,029
|
|
|
$
|
18,493
|
|
Nonperforming
|
|
129
|
|
|
64
|
|
|
72
|
|
|
172
|
|
|
63
|
|
|
71
|
|
||||||
Total
|
|
$
|
28,725
|
|
|
$
|
11,891
|
|
|
$
|
17,235
|
|
|
$
|
29,921
|
|
|
$
|
12,092
|
|
|
$
|
18,564
|
|
Year Ended December 31, 2017
|
|
Beginning Balance
|
|
Charge-Offs
|
|
Recoveries
|
|
Provision (Benefit)
|
|
Other
|
|
Ending Balance
|
||||||||||||
(Dollars in millions)
|
|
|
|
|
|
|
||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
$
|
530
|
|
|
$
|
(95
|
)
|
|
$
|
36
|
|
|
$
|
51
|
|
|
$
|
—
|
|
|
$
|
522
|
|
CRE
|
|
145
|
|
|
(10
|
)
|
|
16
|
|
|
9
|
|
|
—
|
|
|
160
|
|
||||||
Lease financing
|
|
7
|
|
|
(5
|
)
|
|
2
|
|
|
5
|
|
|
—
|
|
|
9
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Residential mortgage
|
|
227
|
|
|
(47
|
)
|
|
2
|
|
|
27
|
|
|
—
|
|
|
209
|
|
||||||
Direct
|
|
103
|
|
|
(61
|
)
|
|
25
|
|
|
39
|
|
|
—
|
|
|
106
|
|
||||||
Indirect
|
|
327
|
|
|
(402
|
)
|
|
60
|
|
|
363
|
|
|
—
|
|
|
348
|
|
||||||
Revolving credit
|
|
106
|
|
|
(76
|
)
|
|
19
|
|
|
59
|
|
|
—
|
|
|
108
|
|
||||||
PCI
|
|
44
|
|
|
(1
|
)
|
|
—
|
|
|
(15
|
)
|
|
—
|
|
|
28
|
|
||||||
ALLL
|
|
1,489
|
|
|
(697
|
)
|
|
160
|
|
|
538
|
|
|
—
|
|
|
1,490
|
|
||||||
RUFC
|
|
110
|
|
|
—
|
|
|
—
|
|
|
9
|
|
|
—
|
|
|
119
|
|
||||||
ACL
|
|
$
|
1,599
|
|
|
$
|
(697
|
)
|
|
$
|
160
|
|
|
$
|
547
|
|
|
$
|
—
|
|
|
$
|
1,609
|
|
Year Ended December 31, 2016
|
|
Beginning Balance
|
|
Charge-Offs
|
|
Recoveries
|
|
Provision (Benefit)
|
|
Other
|
|
Ending Balance
|
||||||||||||
(Dollars in millions)
|
|
|
|
|
|
|
||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
$
|
488
|
|
|
$
|
(143
|
)
|
|
$
|
44
|
|
|
$
|
141
|
|
|
$
|
—
|
|
|
$
|
530
|
|
CRE
|
|
175
|
|
|
(9
|
)
|
|
19
|
|
|
(40
|
)
|
|
—
|
|
|
145
|
|
||||||
Lease financing
|
|
5
|
|
|
(6
|
)
|
|
2
|
|
|
6
|
|
|
—
|
|
|
7
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Residential mortgage
|
|
217
|
|
|
(40
|
)
|
|
3
|
|
|
47
|
|
|
—
|
|
|
227
|
|
||||||
Direct
|
|
105
|
|
|
(53
|
)
|
|
26
|
|
|
25
|
|
|
—
|
|
|
103
|
|
||||||
Indirect
|
|
305
|
|
|
(366
|
)
|
|
55
|
|
|
333
|
|
|
—
|
|
|
327
|
|
||||||
Revolving credit
|
|
104
|
|
|
(69
|
)
|
|
20
|
|
|
51
|
|
|
—
|
|
|
106
|
|
||||||
PCI
|
|
61
|
|
|
(15
|
)
|
|
—
|
|
|
(2
|
)
|
|
—
|
|
|
44
|
|
||||||
ALLL
|
|
1,460
|
|
|
(701
|
)
|
|
169
|
|
|
561
|
|
|
—
|
|
|
1,489
|
|
||||||
RUFC
|
|
90
|
|
|
—
|
|
|
—
|
|
|
11
|
|
|
9
|
|
|
110
|
|
||||||
ACL
|
|
$
|
1,550
|
|
|
$
|
(701
|
)
|
|
$
|
169
|
|
|
$
|
572
|
|
|
$
|
9
|
|
|
$
|
1,599
|
|
Year Ended December 31, 2015
|
|
Beginning Balance
|
|
Charge-Offs
|
|
Recoveries
|
|
Provision (Benefit)
|
|
Other
|
|
Ending Balance
|
||||||||||||
(Dollars in millions)
|
|
|
|
|
|
|
||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
$
|
446
|
|
|
$
|
(90
|
)
|
|
$
|
40
|
|
|
$
|
92
|
|
|
$
|
—
|
|
|
$
|
488
|
|
CRE
|
|
212
|
|
|
(24
|
)
|
|
18
|
|
|
(31
|
)
|
|
—
|
|
|
175
|
|
||||||
Lease financing
|
|
4
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
—
|
|
|
5
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Residential mortgage
|
|
253
|
|
|
(46
|
)
|
|
3
|
|
|
7
|
|
|
—
|
|
|
217
|
|
||||||
Direct
|
|
110
|
|
|
(54
|
)
|
|
29
|
|
|
20
|
|
|
—
|
|
|
105
|
|
||||||
Indirect
|
|
275
|
|
|
(303
|
)
|
|
42
|
|
|
291
|
|
|
—
|
|
|
305
|
|
||||||
Revolving credit
|
|
110
|
|
|
(70
|
)
|
|
20
|
|
|
44
|
|
|
—
|
|
|
104
|
|
||||||
PCI
|
|
64
|
|
|
(1
|
)
|
|
—
|
|
|
(2
|
)
|
|
—
|
|
|
61
|
|
||||||
ALLL
|
|
1,474
|
|
|
(588
|
)
|
|
152
|
|
|
422
|
|
|
—
|
|
|
1,460
|
|
||||||
RUFC
|
|
60
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|
24
|
|
|
90
|
|
||||||
ACL
|
|
$
|
1,534
|
|
|
$
|
(588
|
)
|
|
$
|
152
|
|
|
$
|
428
|
|
|
$
|
24
|
|
|
$
|
1,550
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||
(Dollars in millions)
|
|
Recorded Investment
|
|
Related ALLL
|
|
Recorded Investment
|
|
Related ALLL
|
||||||||
Commercial:
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
|
$
|
58,804
|
|
|
$
|
494
|
|
|
$
|
57,265
|
|
|
$
|
492
|
|
CRE
|
|
21,173
|
|
|
154
|
|
|
19,649
|
|
|
136
|
|
||||
Lease financing
|
|
1,910
|
|
|
9
|
|
|
1,672
|
|
|
7
|
|
||||
Retail:
|
|
|
|
|
|
|
|
|
||||||||
Residential mortgage
|
|
27,914
|
|
|
143
|
|
|
28,954
|
|
|
144
|
|
||||
Direct
|
|
11,815
|
|
|
98
|
|
|
12,011
|
|
|
93
|
|
||||
Indirect
|
|
16,935
|
|
|
296
|
|
|
18,308
|
|
|
286
|
|
||||
Revolving credit
|
|
2,842
|
|
|
97
|
|
|
2,626
|
|
|
95
|
|
||||
PCI
|
|
651
|
|
|
28
|
|
|
910
|
|
|
44
|
|
||||
Total
|
|
$
|
142,044
|
|
|
$
|
1,319
|
|
|
$
|
141,395
|
|
|
$
|
1,297
|
|
As Of / For The Year Ended December 31, 2017
|
|
UPB
|
|
Recorded Investment
|
|
Related ALLL
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
||||||||||||||
(Dollars in millions)
|
|
|
Without an ALLL
|
|
With an ALLL
|
|
|
|
||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
$
|
381
|
|
|
$
|
136
|
|
|
$
|
213
|
|
|
$
|
28
|
|
|
$
|
424
|
|
|
$
|
6
|
|
CRE
|
|
91
|
|
|
26
|
|
|
64
|
|
|
6
|
|
|
109
|
|
|
3
|
|
||||||
Lease financing
|
|
1
|
|
|
—
|
|
|
1
|
|
|
—
|
|
|
3
|
|
|
—
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential mortgage
|
|
860
|
|
|
132
|
|
|
679
|
|
|
67
|
|
|
895
|
|
|
37
|
|
||||||
Direct
|
|
99
|
|
|
22
|
|
|
54
|
|
|
8
|
|
|
78
|
|
|
4
|
|
||||||
Indirect
|
|
308
|
|
|
6
|
|
|
294
|
|
|
52
|
|
|
269
|
|
|
41
|
|
||||||
Revolving credit
|
|
30
|
|
|
—
|
|
|
30
|
|
|
10
|
|
|
29
|
|
|
1
|
|
||||||
Total
|
|
$
|
1,770
|
|
|
$
|
322
|
|
|
$
|
1,335
|
|
|
$
|
171
|
|
|
$
|
1,807
|
|
|
$
|
92
|
|
As Of / For The Year Ended December 31, 2016
|
|
UPB
|
|
Recorded Investment
|
|
Related ALLL
|
|
Average Recorded Investment
|
|
Interest Income Recognized
|
||||||||||||||
(Dollars in millions)
|
|
|
Without an ALLL
|
|
With an ALLL
|
|
|
|
||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
$
|
505
|
|
|
$
|
204
|
|
|
$
|
271
|
|
|
$
|
38
|
|
|
$
|
483
|
|
|
$
|
6
|
|
CRE
|
|
121
|
|
|
35
|
|
|
80
|
|
|
9
|
|
|
114
|
|
|
3
|
|
||||||
Lease financing
|
|
4
|
|
|
1
|
|
|
3
|
|
|
—
|
|
|
4
|
|
|
—
|
|
||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
|
1,026
|
|
|
97
|
|
|
870
|
|
|
83
|
|
|
843
|
|
|
34
|
|
||||||
Direct
|
|
107
|
|
|
13
|
|
|
68
|
|
|
10
|
|
|
83
|
|
|
5
|
|
||||||
Indirect
|
|
265
|
|
|
5
|
|
|
251
|
|
|
41
|
|
|
227
|
|
|
33
|
|
||||||
Revolving credit
|
|
29
|
|
|
—
|
|
|
29
|
|
|
11
|
|
|
31
|
|
|
1
|
|
||||||
Total
|
|
$
|
2,057
|
|
|
$
|
355
|
|
|
$
|
1,572
|
|
|
$
|
192
|
|
|
$
|
1,785
|
|
|
$
|
82
|
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Performing TDRs:
|
|
|
|
|
||||
Commercial:
|
|
|
|
|
||||
Commercial and industrial
|
|
$
|
50
|
|
|
$
|
57
|
|
CRE
|
|
16
|
|
|
25
|
|
||
Lease financing
|
|
—
|
|
|
—
|
|
||
Retail:
|
|
|
|
|
||||
Residential mortgage
|
|
605
|
|
|
769
|
|
||
Direct
|
|
62
|
|
|
67
|
|
||
Indirect
|
|
281
|
|
|
240
|
|
||
Revolving credit
|
|
29
|
|
|
29
|
|
||
Total performing TDRs
|
|
1,043
|
|
|
1,187
|
|
||
Nonperforming TDRs (also included in NPL disclosures)
|
|
189
|
|
|
184
|
|
||
Total TDRs
|
|
$
|
1,232
|
|
|
$
|
1,371
|
|
ALLL attributable to TDRs
|
|
$
|
142
|
|
|
$
|
146
|
|
|
|
Year Ended December 31,
|
||||||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||||||||||||||
|
|
Type of Modification
|
|
ALLL Impact
|
|
Type of Modification
|
|
ALLL Impact
|
|
Type of Modification
|
|
ALLL Impact
|
||||||||||||||||||||||||
(Dollars in millions)
|
|
Rate
|
|
Structure
|
|
|
Rate
|
|
Structure
|
|
|
Rate
|
|
Structure
|
|
|||||||||||||||||||||
Newly Designated TDRs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial and industrial
|
|
$
|
79
|
|
|
$
|
101
|
|
|
$
|
3
|
|
|
$
|
105
|
|
|
$
|
96
|
|
|
$
|
3
|
|
|
$
|
68
|
|
|
$
|
31
|
|
|
$
|
2
|
|
CRE
|
|
14
|
|
|
10
|
|
|
1
|
|
|
12
|
|
|
16
|
|
|
—
|
|
|
11
|
|
|
26
|
|
|
1
|
|
|||||||||
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
|
357
|
|
|
46
|
|
|
25
|
|
|
431
|
|
|
53
|
|
|
28
|
|
|
230
|
|
|
34
|
|
|
16
|
|
|||||||||
Direct
|
|
10
|
|
|
3
|
|
|
—
|
|
|
14
|
|
|
1
|
|
|
—
|
|
|
12
|
|
|
2
|
|
|
4
|
|
|||||||||
Indirect
|
|
192
|
|
|
6
|
|
|
21
|
|
|
169
|
|
|
7
|
|
|
21
|
|
|
129
|
|
|
9
|
|
|
18
|
|
|||||||||
Revolving credit
|
|
19
|
|
|
—
|
|
|
4
|
|
|
17
|
|
|
—
|
|
|
4
|
|
|
16
|
|
|
—
|
|
|
4
|
|
|||||||||
Re-Modification of Previously Designated TDRs
|
|
176
|
|
|
44
|
|
|
—
|
|
|
79
|
|
|
46
|
|
|
—
|
|
|
88
|
|
|
34
|
|
|
—
|
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Unearned income, discounts and net deferred loan fees and costs, excluding PCI
|
|
$
|
70
|
|
|
$
|
265
|
|
Residential mortgage loans in process of foreclosure
|
|
288
|
|
|
366
|
|
|
Estimated Useful Life
|
|
December 31,
|
||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|||||||
Land and land improvements
|
|
|
|
|
$
|
583
|
|
|
$
|
611
|
|
Buildings and building improvements
|
40 years
|
|
1,660
|
|
|
1,628
|
|
||||
Furniture and equipment
|
3
|
-
|
15
|
|
1,146
|
|
|
1,121
|
|
||
Leasehold improvements
|
|
|
|
|
733
|
|
|
791
|
|
||
Construction in progress
|
|
|
|
|
52
|
|
|
62
|
|
||
Capitalized leases on premises and equipment
|
|
|
|
|
58
|
|
|
66
|
|
||
Total
|
|
|
|
|
4,232
|
|
|
4,279
|
|
||
Accumulated depreciation and amortization
|
|
|
|
|
(2,177
|
)
|
|
(2,172
|
)
|
||
Net premises and equipment
|
|
|
|
|
$
|
2,055
|
|
|
$
|
2,107
|
|
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Rent expense applicable to operating leases
|
|
$
|
249
|
|
|
$
|
250
|
|
|
$
|
223
|
|
Rental income from owned properties and subleases
|
|
12
|
|
|
8
|
|
|
7
|
|
|
|
Year Ended December 31,
|
|
|
||||||||||||||||||||
(Dollars in millions)
|
|
2018
|
|
2019
|
|
2020
|
|
2021
|
|
2022
|
|
Thereafter
|
||||||||||||
Future minimum lease payments for operating leases
|
|
$
|
255
|
|
|
$
|
228
|
|
|
$
|
199
|
|
|
$
|
173
|
|
|
$
|
147
|
|
|
$
|
509
|
|
(Dollars in millions)
|
|
Community Banking
|
|
Residential Mortgage Banking
|
|
Dealer Financial Services
|
|
Specialized Lending
|
|
Insurance Holdings
|
|
Financial Services
|
|
Total
|
||||||||||||||
Goodwill, January 1, 2015
|
|
$
|
4,634
|
|
|
$
|
326
|
|
|
$
|
111
|
|
|
$
|
88
|
|
|
$
|
1,518
|
|
|
$
|
192
|
|
|
$
|
6,869
|
|
Acquired goodwill, net
|
|
1,501
|
|
|
43
|
|
|
—
|
|
|
155
|
|
|
16
|
|
|
11
|
|
|
1,726
|
|
|||||||
American Coastal sale
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(49
|
)
|
|
—
|
|
|
(49
|
)
|
|||||||
Other adjustments
|
|
5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3
|
)
|
|
—
|
|
|
2
|
|
|||||||
Goodwill, December 31, 2015
|
|
6,140
|
|
|
369
|
|
|
111
|
|
|
243
|
|
|
1,482
|
|
|
203
|
|
|
8,548
|
|
|||||||
Acquired goodwill, net
|
|
753
|
|
|
39
|
|
|
—
|
|
|
2
|
|
|
270
|
|
|
9
|
|
|
1,073
|
|
|||||||
Other adjustments
|
|
139
|
|
|
8
|
|
|
—
|
|
|
(132
|
)
|
|
—
|
|
|
2
|
|
|
17
|
|
|||||||
Goodwill, December 31, 2016
|
|
7,032
|
|
|
416
|
|
|
111
|
|
|
113
|
|
|
1,752
|
|
|
214
|
|
|
9,638
|
|
|||||||
Other adjustments
|
|
(12
|
)
|
|
6
|
|
|
—
|
|
|
(9
|
)
|
|
(5
|
)
|
|
—
|
|
|
(20
|
)
|
|||||||
Goodwill, prior to reorganization
|
|
$
|
7,020
|
|
|
$
|
422
|
|
|
$
|
111
|
|
|
$
|
104
|
|
|
$
|
1,747
|
|
|
$
|
214
|
|
|
$
|
9,618
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Goodwill, after reorganization
|
|
|
|
|
|
CB-Retail
|
|
CB-Commercial
|
|
FS&CF
|
|
IH&PF
|
|
Total
|
||||||||||||||
Goodwill, December 31, 2017
|
|
|
|
|
|
$
|
3,724
|
|
|
$
|
3,862
|
|
|
$
|
259
|
|
|
$
|
1,773
|
|
|
$
|
9,618
|
|
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
(Dollars in millions)
|
|
Wtd. Avg. Remaining Life
|
|
Gross Carrying Amount
|
|
Accumulated Amortization
|
|
Net Carrying Amount
|
|
Gross Carrying Amount
|
|
Accumulated Amortization
|
|
Net Carrying Amount
|
||||||||||||
CDI
|
|
7.0 years
|
|
$
|
605
|
|
|
$
|
(409
|
)
|
|
$
|
196
|
|
|
$
|
825
|
|
|
$
|
(565
|
)
|
|
$
|
260
|
|
Other, primarily customer relationship intangibles
|
|
12.0
|
|
1,211
|
|
|
(696
|
)
|
|
515
|
|
|
1,249
|
|
|
(655
|
)
|
|
594
|
|
||||||
Total
|
|
|
|
$
|
1,816
|
|
|
$
|
(1,105
|
)
|
|
$
|
711
|
|
|
$
|
2,074
|
|
|
$
|
(1,220
|
)
|
|
$
|
854
|
|
|
|
Year Ended December 31,
|
||||||||||||||||||
(Dollars in millions)
|
|
2018
|
|
2019
|
|
2020
|
|
2021
|
|
2022
|
||||||||||
Estimated amortization expense of identifiable intangibles
|
|
$
|
122
|
|
|
$
|
104
|
|
|
$
|
87
|
|
|
$
|
74
|
|
|
$
|
64
|
|
|
|
As Of / For The Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
UPB of residential mortgage and home equity loan servicing portfolio
|
|
$
|
118,424
|
|
|
$
|
121,639
|
|
|
$
|
122,169
|
|
UPB of residential mortgage loans serviced for others, primarily agency conforming fixed rate
|
|
89,124
|
|
|
90,325
|
|
|
91,132
|
|
|||
Mortgage loans sold with recourse
|
|
490
|
|
|
578
|
|
|
702
|
|
|||
Maximum recourse exposure from mortgage loans sold with recourse liability
|
|
251
|
|
|
282
|
|
|
326
|
|
|||
Indemnification, recourse and repurchase reserves
|
|
37
|
|
|
40
|
|
|
79
|
|
|||
UPB of residential mortgage loans sold
|
|
12,423
|
|
|
15,675
|
|
|
14,764
|
|
|||
Pre-tax gains recognized on mortgage loans sold and held for sale
|
|
153
|
|
|
139
|
|
|
148
|
|
|||
Servicing fees recognized from mortgage loans serviced for others
|
|
261
|
|
|
268
|
|
|
273
|
|
|||
Approximate weighted average servicing fee on the outstanding balance of residential mortgage loans serviced for others
|
|
0.28
|
%
|
|
0.28
|
%
|
|
0.29
|
%
|
|||
Weighted average interest rate on mortgage loans serviced for others
|
|
4.00
|
|
|
4.03
|
|
|
4.12
|
|
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Carrying value, beginning of year
|
|
$
|
915
|
|
|
$
|
880
|
|
|
$
|
844
|
|
Additions
|
|
123
|
|
|
146
|
|
|
156
|
|
|||
Change in fair value due to changes in valuation inputs or assumptions:
|
|
|
|
|
|
|
||||||
Prepayment speeds
|
|
(42
|
)
|
|
13
|
|
|
91
|
|
|||
Weighted average OAS
|
|
46
|
|
|
10
|
|
|
(52
|
)
|
|||
Servicing costs
|
|
9
|
|
|
2
|
|
|
(25
|
)
|
|||
Realization of expected net servicing cash flows, passage of time and other
|
|
(137
|
)
|
|
(136
|
)
|
|
(134
|
)
|
|||
Carrying value, end of year
|
|
$
|
914
|
|
|
$
|
915
|
|
|
$
|
880
|
|
|
|
|
|
|
|
|
||||||
Gains (losses) on derivative financial instruments used to mitigate the income statement effect of changes in fair value
|
|
$
|
—
|
|
|
$
|
32
|
|
|
$
|
32
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||
|
|
Range
|
|
Weighted Average
|
|
Range
|
|
Weighted Average
|
||||||||||||
(Dollars in millions)
|
|
Min
|
|
Max
|
|
|
Min
|
|
Max
|
|
||||||||||
Prepayment speed
|
|
7.1
|
%
|
|
10.1
|
%
|
|
9.1
|
%
|
|
7.5
|
%
|
|
8.4
|
%
|
|
8.1
|
%
|
||
Effect on fair value of a 10% increase
|
|
|
|
|
|
$
|
(31
|
)
|
|
|
|
|
|
$
|
(28
|
)
|
||||
Effect on fair value of a 20% increase
|
|
|
|
|
|
(60
|
)
|
|
|
|
|
|
(54
|
)
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
OAS
|
|
8.4
|
%
|
|
8.9
|
%
|
|
8.5
|
%
|
|
9.8
|
%
|
|
10.2
|
%
|
|
10.0
|
%
|
||
Effect on fair value of a 10% increase
|
|
|
|
|
|
$
|
(28
|
)
|
|
|
|
|
|
$
|
(33
|
)
|
||||
Effect on fair value of a 20% increase
|
|
|
|
|
|
(54
|
)
|
|
|
|
|
|
(64
|
)
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Composition of loans serviced for others:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
Fixed-rate residential mortgage loans
|
|
|
|
|
|
|
|
99.1
|
%
|
|
|
|
|
|
|
|
99.1
|
%
|
||
Adjustable-rate residential mortgage loans
|
|
|
|
|
|
|
|
0.9
|
|
|
|
|
|
|
|
|
0.9
|
|
||
Total
|
|
|
|
|
|
|
|
100.0
|
%
|
|
|
|
|
|
|
|
100.0
|
%
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted average life
|
|
|
|
|
|
|
|
6.4 years
|
|
|
|
|
|
|
|
7.0 years
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
UPB of CRE mortgages serviced for others
|
|
$
|
28,441
|
|
|
$
|
29,333
|
|
CRE mortgages serviced for others covered by recourse provisions
|
|
4,153
|
|
|
4,240
|
|
||
Maximum recourse exposure from CRE mortgages sold with recourse liability
|
|
1,218
|
|
|
1,272
|
|
||
Recorded reserves related to recourse exposure
|
|
5
|
|
|
7
|
|
||
Originated CRE mortgages during the year
|
|
6,753
|
|
|
7,145
|
|
||
Commercial MSRs at fair value
|
|
142
|
|
|
137
|
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Noninterest-bearing deposits
|
|
$
|
53,767
|
|
|
$
|
50,697
|
|
Interest checking
|
|
27,677
|
|
|
30,263
|
|
||
Money market and savings
|
|
62,757
|
|
|
64,883
|
|
||
Time deposits
|
|
13,170
|
|
|
14,391
|
|
||
Total deposits
|
|
$
|
157,371
|
|
|
$
|
160,234
|
|
|
|
|
|
|
||||
Time deposits greater than $250,000
|
|
$
|
2,622
|
|
|
$
|
2,179
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
|||||||||||||||||
|
|
|
|
|
|
Stated Rate
|
|
Effective Rate
|
|
Carrying
|
|
Carrying
|
|||||||||
(Dollars in millions)
|
|
Maturity
|
|
Min
|
|
Max
|
|
|
Amount
|
|
Amount
|
||||||||||
BB&T Corporation:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Fixed rate senior notes
|
|
2018
|
to
|
2024
|
|
2.05
|
%
|
|
6.85
|
%
|
|
2.89
|
%
|
|
$
|
8,562
|
|
|
$
|
7,600
|
|
Floating rate senior notes
|
|
2018
|
|
2022
|
|
1.60
|
|
|
2.45
|
|
|
2.13
|
|
|
2,547
|
|
|
1,898
|
|
||
Fixed rate subordinated notes
|
|
2019
|
|
2022
|
|
3.95
|
|
|
5.25
|
|
|
1.98
|
|
|
933
|
|
|
1,338
|
|
||
Branch Bank:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Fixed rate senior notes
|
|
2018
|
|
2022
|
|
1.45
|
|
|
2.85
|
|
|
2.56
|
|
|
5,653
|
|
|
4,209
|
|
||
Floating rate senior notes
|
|
2019
|
|
2020
|
|
1.74
|
|
|
1.91
|
|
|
2.10
|
|
|
1,149
|
|
|
250
|
|
||
Fixed rate subordinated notes
|
|
2025
|
|
2026
|
|
3.63
|
|
|
3.80
|
|
|
3.58
|
|
|
2,119
|
|
|
2,138
|
|
||
Floating rate subordinated notes
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
|
262
|
|
||||
FHLB advances (1)
|
|
2018
|
|
2034
|
|
—
|
|
|
5.50
|
|
|
1.49
|
|
|
2,480
|
|
|
4,118
|
|
||
Other long-term debt
|
|
|
|
|
|
|
|
|
|
|
|
|
205
|
|
|
152
|
|
||||
Total long-term debt
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
23,648
|
|
|
$
|
21,965
|
|
(1)
|
FHLB advances had a weighted average maturity of
3.8 years
at
December 31, 2017
.
|
|
|
Year Ended December 31,
|
|
Thereafter
|
||||||||||||||||||||
(Dollars in millions)
|
|
2018
|
|
2019
|
|
2020
|
|
2021
|
|
2022
|
|
|||||||||||||
Future debt maturities
|
|
$
|
2,446
|
|
|
$
|
4,837
|
|
|
$
|
6,008
|
|
|
$
|
3,256
|
|
|
$
|
2,851
|
|
|
$
|
4,161
|
|
Preferred Stock Issue
|
|
Issuance Date
|
|
Earliest Redemption Date
|
|
Liquidation Amount
|
|
Carrying Amount
|
|
Dividend Rate
|
|||||
(Dollars in millions)
|
|
|
|
|
|
||||||||||
Series D
|
|
5/1/2012
|
|
5/1/2017
|
|
$
|
575
|
|
|
$
|
559
|
|
|
5.850
|
%
|
Series E
|
|
7/31/2012
|
|
8/1/2017
|
|
1,150
|
|
|
1,120
|
|
|
5.625
|
|
||
Series F
|
|
10/31/2012
|
|
11/1/2017
|
|
450
|
|
|
437
|
|
|
5.200
|
|
||
Series G
|
|
5/1/2013
|
|
6/1/2018
|
|
500
|
|
|
487
|
|
|
5.200
|
|
||
Series H
|
|
3/9/2016
|
|
6/1/2021
|
|
465
|
|
|
450
|
|
|
5.625
|
|
||
Total
|
|
|
|
|
|
$
|
3,140
|
|
|
$
|
3,053
|
|
|
|
|
|
December 31, 2017
|
||
Shares available for future grants (in thousands)
|
|
19,408
|
|
|
Vesting period, minimum
|
|
1.0
|
|
years
|
Vesting period, maximum
|
|
5.0
|
|
|
Option term
|
|
10.0
|
|
|
|
|
As of / For the Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Equity-based compensation expense
|
|
$
|
132
|
|
|
$
|
115
|
|
|
$
|
106
|
|
Income tax benefit from equity-based compensation expense
|
|
34
|
|
|
43
|
|
|
40
|
|
|||
Intrinsic value of options exercised, and RSUs and PSUs that vested during the year
|
|
261
|
|
|
159
|
|
|
170
|
|
|||
Grant date fair value of equity-based awards that vested during the year
|
|
116
|
|
|
98
|
|
|
115
|
|
|||
Unrecognized compensation cost related to equity-based awards
|
|
132
|
|
|
109
|
|
|
103
|
|
|||
Weighted-average life over which compensation cost is expected to be recognized (years)
|
|
2.4
|
|
|
2.3
|
|
|
2.2
|
|
(Shares/units in thousands)
|
|
Shares/Units
|
|
Wtd. Avg. Grant Date Fair Value
|
|||
Nonvested at January 1, 2017
|
|
13,516
|
|
|
$
|
29.39
|
|
Granted
|
|
3,924
|
|
|
42.88
|
|
|
Vested
|
|
(4,142
|
)
|
|
27.75
|
|
|
Forfeited
|
|
(350
|
)
|
|
33.29
|
|
|
Nonvested at December 31, 2017
|
|
12,948
|
|
|
33.90
|
|
|
Expected to vest at December 31, 2017
|
|
11,946
|
|
|
33.90
|
|
(Dollars in millions)
|
|
Unrecognized Net Pension and Postretirement Costs
|
|
Unrealized Net Gains (Losses) on Cash Flow Hedges
|
|
Unrealized Net Gains (Losses) on AFS Securities
|
|
FDIC's Share of Unrealized (Gains) Losses on AFS Securities
|
|
Other, net
|
|
Total
|
||||||||||||
AOCI balance, January 1, 2015
|
|
$
|
(626
|
)
|
|
$
|
(54
|
)
|
|
$
|
152
|
|
|
$
|
(207
|
)
|
|
$
|
(16
|
)
|
|
$
|
(751
|
)
|
OCI before reclassifications, net of tax
|
|
(139
|
)
|
|
(81
|
)
|
|
(206
|
)
|
|
19
|
|
|
(9
|
)
|
|
(416
|
)
|
||||||
Amounts reclassified from AOCI:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Before tax (1)
|
|
67
|
|
|
83
|
|
|
32
|
|
|
31
|
|
|
9
|
|
|
222
|
|
||||||
Tax effect
|
|
25
|
|
|
31
|
|
|
12
|
|
|
12
|
|
|
3
|
|
|
83
|
|
||||||
Amounts reclassified, net of tax
|
|
42
|
|
|
52
|
|
|
20
|
|
|
19
|
|
|
6
|
|
|
139
|
|
||||||
Total OCI, net of tax
|
|
(97
|
)
|
|
(29
|
)
|
|
(186
|
)
|
|
38
|
|
|
(3
|
)
|
|
(277
|
)
|
||||||
AOCI balance, December 31, 2015
|
|
(723
|
)
|
|
(83
|
)
|
|
(34
|
)
|
|
(169
|
)
|
|
(19
|
)
|
|
(1,028
|
)
|
||||||
OCI before reclassifications, net of tax
|
|
(91
|
)
|
|
(16
|
)
|
|
(201
|
)
|
|
148
|
|
|
1
|
|
|
(159
|
)
|
||||||
Amounts reclassified from AOCI:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Before tax (1)
|
|
80
|
|
|
11
|
|
|
(39
|
)
|
|
33
|
|
|
1
|
|
|
86
|
|
||||||
Tax effect
|
|
30
|
|
|
4
|
|
|
(15
|
)
|
|
12
|
|
|
—
|
|
|
31
|
|
||||||
Amounts reclassified, net of tax
|
|
50
|
|
|
7
|
|
|
(24
|
)
|
|
21
|
|
|
1
|
|
|
55
|
|
||||||
Total OCI, net of tax
|
|
(41
|
)
|
|
(9
|
)
|
|
(225
|
)
|
|
169
|
|
|
2
|
|
|
(104
|
)
|
||||||
AOCI balance, December 31, 2016
|
|
(764
|
)
|
|
(92
|
)
|
|
(259
|
)
|
|
—
|
|
|
(17
|
)
|
|
(1,132
|
)
|
||||||
OCI before reclassifications, net of tax
|
|
(129
|
)
|
|
7
|
|
|
(23
|
)
|
|
—
|
|
|
5
|
|
|
(140
|
)
|
||||||
Amounts reclassified from AOCI:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Before tax (1)
|
|
72
|
|
|
15
|
|
|
(7
|
)
|
|
—
|
|
|
—
|
|
|
80
|
|
||||||
Tax effect
|
|
27
|
|
|
4
|
|
|
(3
|
)
|
|
—
|
|
|
—
|
|
|
28
|
|
||||||
Amounts reclassified, net of tax
|
|
45
|
|
|
11
|
|
|
(4
|
)
|
|
—
|
|
|
—
|
|
|
52
|
|
||||||
Total OCI, net of tax
|
|
(84
|
)
|
|
18
|
|
|
(27
|
)
|
|
—
|
|
|
5
|
|
|
(88
|
)
|
||||||
Reclassification of certain tax effects
|
|
(156
|
)
|
|
(18
|
)
|
|
(70
|
)
|
|
—
|
|
|
(3
|
)
|
|
(247
|
)
|
||||||
AOCI balance, December 31, 2017
|
|
$
|
(1,004
|
)
|
|
$
|
(92
|
)
|
|
$
|
(356
|
)
|
|
$
|
—
|
|
|
$
|
(15
|
)
|
|
$
|
(1,467
|
)
|
(1)
|
Amounts related to unrecognized net pension and postretirement costs are included in personnel expense, amounts related to unrealized net gains (losses) on cash flow hedges are included in net interest income, amounts related to unrealized net gains (losses) on AFS securities are included in net interest income or securities gains/losses when realized, amounts related to FDIC's share of unrealized gains (losses) on AFS securities are included in FDIC loss share income, net and amounts related to other, net are primarily included in net interest income in the Consolidated Statements of Income.
|
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Current expense:
|
|
|
|
|
|
|
||||||
Federal
|
|
$
|
539
|
|
|
$
|
959
|
|
|
$
|
585
|
|
State
|
|
80
|
|
|
97
|
|
|
99
|
|
|||
Total current expense
|
|
619
|
|
|
1,056
|
|
|
684
|
|
|||
Deferred expense:
|
|
|
|
|
|
|
|
|
|
|||
Federal
|
|
253
|
|
|
(14
|
)
|
|
99
|
|
|||
State
|
|
39
|
|
|
16
|
|
|
11
|
|
|||
Total deferred expense
|
|
292
|
|
|
2
|
|
|
110
|
|
|||
Provision for income taxes
|
|
$
|
911
|
|
|
$
|
1,058
|
|
|
$
|
794
|
|
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Federal income taxes at statutory rate of 35%
|
|
$
|
1,164
|
|
|
$
|
1,225
|
|
|
$
|
1,021
|
|
Increase (decrease) in provision for income taxes as a result of:
|
|
|
|
|
|
|
|
|||||
State income taxes, net of federal tax benefit
|
|
77
|
|
|
73
|
|
|
72
|
|
|||
Affordable housing projects proportional amortization
|
|
236
|
|
|
205
|
|
|
181
|
|
|||
Affordable housing projects tax credits and other tax benefits
|
|
(319
|
)
|
|
(279
|
)
|
|
(249
|
)
|
|||
Tax exempt income
|
|
(139
|
)
|
|
(151
|
)
|
|
(129
|
)
|
|||
Federal tax reform impact
|
|
(43
|
)
|
|
—
|
|
|
—
|
|
|||
Excess tax benefits for equity-based compensation
|
|
(52
|
)
|
|
—
|
|
|
—
|
|
|||
Adjustments for uncertain tax positions
|
|
—
|
|
|
(6
|
)
|
|
(107
|
)
|
|||
Other, net
|
|
(13
|
)
|
|
(9
|
)
|
|
5
|
|
|||
Provision for income taxes
|
|
$
|
911
|
|
|
$
|
1,058
|
|
|
$
|
794
|
|
Effective income tax rate
|
|
27.4
|
%
|
|
30.2
|
%
|
|
27.2
|
%
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Deferred tax assets:
|
|
|
|
|
||||
ALLL
|
|
$
|
359
|
|
|
$
|
564
|
|
Postretirement plans
|
|
311
|
|
|
451
|
|
||
Net unrealized loss on AFS securities
|
|
112
|
|
|
155
|
|
||
Equity-based compensation
|
|
66
|
|
|
124
|
|
||
Reserves and expense accruals
|
|
114
|
|
|
238
|
|
||
Partnerships
|
|
70
|
|
|
116
|
|
||
Other
|
|
160
|
|
|
317
|
|
||
Total deferred tax assets
|
|
1,192
|
|
|
1,965
|
|
||
Deferred tax liabilities:
|
|
|
|
|
|
|
||
Prepaid pension plan expense
|
|
436
|
|
|
558
|
|
||
MSRs
|
|
234
|
|
|
358
|
|
||
Lease financing
|
|
366
|
|
|
587
|
|
||
Loan fees and expenses
|
|
114
|
|
|
103
|
|
||
Identifiable intangible assets
|
|
163
|
|
|
224
|
|
||
Other
|
|
31
|
|
|
45
|
|
||
Total deferred tax liabilities
|
|
1,344
|
|
|
1,875
|
|
||
Net deferred tax asset (liability)
|
|
$
|
(152
|
)
|
|
$
|
90
|
|
|
|
As of/ For the Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Beginning balance of unrecognized tax benefits
|
|
$
|
1
|
|
|
$
|
426
|
|
|
$
|
503
|
|
Additions based on tax positions related to current year
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Additions (reductions) for tax positions of prior years
|
|
—
|
|
|
(5
|
)
|
|
(76
|
)
|
|||
Settlements
|
|
—
|
|
|
(420
|
)
|
|
(1
|
)
|
|||
Lapse of statute of limitations
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
|||
Unrecognized deferred tax benefits from acquisitions
|
|
—
|
|
|
—
|
|
|
1
|
|
|||
Ending balance of unrecognized tax benefits
|
|
$
|
1
|
|
|
$
|
1
|
|
|
$
|
426
|
|
|
|
|
|
|
|
|
||||||
Unrecognized tax benefits that would have impacted effective rate if recognized
|
|
|
|
|
|
|
|
|
||||
Federal
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
422
|
|
State
|
|
1
|
|
|
1
|
|
|
3
|
|
|
|
December 31,
|
|||||||
|
|
2017
|
|
2016
|
|
2015
|
|||
Weighted average assumed discount rate
|
|
4.43
|
%
|
|
4.68
|
%
|
|
4.27
|
%
|
Weighted average expected long-term rate of return on plan assets
|
|
7.00
|
|
|
7.00
|
|
|
7.50
|
|
Assumed long-term rate of annual compensation increases
|
|
4.50
|
|
|
4.50
|
|
|
4.50
|
|
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Net Periodic Pension Cost:
|
|
|
|
|
|
|
||||||
Service cost
|
|
$
|
200
|
|
|
$
|
186
|
|
|
$
|
176
|
|
Interest cost
|
|
192
|
|
|
181
|
|
|
157
|
|
|||
Estimated return on plan assets
|
|
(372
|
)
|
|
(326
|
)
|
|
(327
|
)
|
|||
Net amortization and other
|
|
75
|
|
|
80
|
|
|
67
|
|
|||
Net periodic benefit cost
|
|
95
|
|
|
121
|
|
|
73
|
|
|||
Pre-Tax Amounts Recognized in OCI:
|
|
|
|
|
|
|
|
|
|
|||
Prior service credit (cost)
|
|
30
|
|
|
—
|
|
|
—
|
|
|||
Net actuarial loss (gain)
|
|
137
|
|
|
138
|
|
|
230
|
|
|||
Net amortization
|
|
(75
|
)
|
|
(80
|
)
|
|
(67
|
)
|
|||
Net amount recognized in OCI
|
|
92
|
|
|
58
|
|
|
163
|
|
|||
Total net periodic pension costs (income) recognized in total comprehensive income, pre-tax
|
|
$
|
187
|
|
|
$
|
179
|
|
|
$
|
236
|
|
|
|
December 31,
|
||||
|
|
2017
|
|
2016
|
||
Weighted average assumed discount rate
|
|
3.79
|
%
|
|
4.43
|
%
|
Assumed rate of annual compensation increases
|
|
4.50
|
|
|
4.50
|
|
|
|
Qualified Plan
|
|
Nonqualified Plans
|
||||||||||||
|
|
Year Ended December 31,
|
|
Year Ended December 31,
|
||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Projected benefit obligation, beginning of year
|
|
$
|
3,939
|
|
|
$
|
3,473
|
|
|
$
|
426
|
|
|
$
|
392
|
|
Service cost
|
|
188
|
|
|
174
|
|
|
12
|
|
|
12
|
|
||||
Interest cost
|
|
173
|
|
|
163
|
|
|
19
|
|
|
18
|
|
||||
Actuarial (gain) loss
|
|
576
|
|
|
152
|
|
|
77
|
|
|
15
|
|
||||
Benefits paid
|
|
(102
|
)
|
|
(94
|
)
|
|
(12
|
)
|
|
(11
|
)
|
||||
Plan amendments
|
|
165
|
|
|
—
|
|
|
(135
|
)
|
|
—
|
|
||||
Acquisitions
|
|
—
|
|
|
71
|
|
|
—
|
|
|
—
|
|
||||
Projected benefit obligation, end of year
|
|
$
|
4,939
|
|
|
$
|
3,939
|
|
|
$
|
387
|
|
|
$
|
426
|
|
Accumulated benefit obligation, end of year
|
|
$
|
4,198
|
|
|
$
|
3,403
|
|
|
$
|
288
|
|
|
$
|
363
|
|
|
|
Qualified Plan
|
|
Nonqualified Plans
|
||||||||||||
|
|
Year Ended December 31,
|
|
Year Ended December 31,
|
||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Fair value of plan assets, beginning of year
|
|
$
|
5,044
|
|
|
$
|
4,369
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Actual return on plan assets
|
|
888
|
|
|
356
|
|
|
—
|
|
|
—
|
|
||||
Employer contributions
|
|
479
|
|
|
360
|
|
|
13
|
|
|
11
|
|
||||
Benefits paid
|
|
(102
|
)
|
|
(94
|
)
|
|
(13
|
)
|
|
(11
|
)
|
||||
Acquisitions
|
|
—
|
|
|
53
|
|
|
—
|
|
|
—
|
|
||||
Fair value of plan assets, end of year
|
|
$
|
6,309
|
|
|
$
|
5,044
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Funded status at end of year
|
|
$
|
1,370
|
|
|
$
|
1,105
|
|
|
$
|
(387
|
)
|
|
$
|
(426
|
)
|
|
|
Qualified Plan
|
|
Nonqualified Plans
|
||||||||||||
|
|
Year Ended December 31,
|
|
Year Ended December 31,
|
||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Prior service credit (cost)
|
|
$
|
(165
|
)
|
|
$
|
—
|
|
|
$
|
134
|
|
|
$
|
(1
|
)
|
Net actuarial loss
|
|
(1,092
|
)
|
|
(1,095
|
)
|
|
(198
|
)
|
|
(135
|
)
|
||||
Net amount recognized
|
|
$
|
(1,257
|
)
|
|
$
|
(1,095
|
)
|
|
$
|
(64
|
)
|
|
$
|
(136
|
)
|
(Dollars in millions)
|
|
Qualified Plan
|
|
Nonqualified Plans
|
||||
Net actuarial loss
|
|
$
|
(49
|
)
|
|
$
|
(22
|
)
|
Prior service credit (cost)
|
|
(25
|
)
|
|
$
|
19
|
|
|
Net amount expected to be amortized in 2018
|
|
$
|
(74
|
)
|
|
$
|
(3
|
)
|
(Dollars in millions)
|
|
Qualified Plan
|
|
Nonqualified Plans
|
||||
2018
|
|
$
|
114
|
|
|
$
|
15
|
|
2019
|
|
125
|
|
|
15
|
|
||
2020
|
|
137
|
|
|
16
|
|
||
2021
|
|
150
|
|
|
16
|
|
||
2022
|
|
164
|
|
|
17
|
|
||
2023-2027
|
|
1,042
|
|
|
101
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
(Dollars in millions)
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Total
|
|
Level 1
|
|
Level 2
|
||||||||||||
Cash and cash-equivalents
|
|
$
|
67
|
|
|
$
|
67
|
|
|
$
|
—
|
|
|
$
|
179
|
|
|
$
|
179
|
|
|
$
|
—
|
|
U.S. equity securities
|
|
2,503
|
|
|
1,333
|
|
|
1,170
|
|
|
1,892
|
|
|
1,018
|
|
|
874
|
|
||||||
International equity securities
|
|
1,130
|
|
|
195
|
|
|
935
|
|
|
839
|
|
|
165
|
|
|
674
|
|
||||||
Fixed income securities
|
|
2,452
|
|
|
10
|
|
|
2,442
|
|
|
1,914
|
|
|
10
|
|
|
1,904
|
|
||||||
Total
|
|
$
|
6,152
|
|
|
$
|
1,605
|
|
|
$
|
4,547
|
|
|
$
|
4,824
|
|
|
$
|
1,372
|
|
|
$
|
3,452
|
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Letters of credit
|
|
$
|
2,466
|
|
|
$
|
2,786
|
|
Carrying amount of the liability for letters of credit
|
|
21
|
|
|
27
|
|
||
Investments in affordable housing projects:
|
|
|
|
|
||||
Carrying amount
|
|
1,948
|
|
|
1,719
|
|
||
Amount of future funding commitments included in carrying amount
|
|
928
|
|
|
738
|
|
||
Lending exposure
|
|
561
|
|
|
495
|
|
||
Tax credits subject to recapture
|
|
471
|
|
|
413
|
|
||
Private equity investments
|
|
471
|
|
|
417
|
|
||
Future funding commitments to private equity investments
|
|
143
|
|
|
199
|
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Pledged securities
|
|
$
|
14,636
|
|
|
$
|
15,549
|
|
Pledged loans
|
|
74,718
|
|
|
75,015
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||||||||
|
|
Actual Capital
|
|
Capital Requirements
|
|
Actual Capital
|
|
Capital Requirements
|
||||||||||||||||||||||
(Dollars in millions)
|
|
Ratio
|
|
Amount
|
|
Minimum
|
|
Well-Capitalized
|
|
Ratio
|
|
Amount
|
|
Minimum
|
|
Well-Capitalized
|
||||||||||||||
CET1 Capital:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
BB&T Corporation
|
|
10.2
|
%
|
|
$
|
18,051
|
|
|
$
|
7,975
|
|
|
$
|
11,519
|
|
|
10.2
|
%
|
|
$
|
18,050
|
|
|
$
|
7,926
|
|
|
$
|
11,449
|
|
Branch Bank
|
|
11.3
|
|
|
19,480
|
|
|
7,752
|
|
|
11,197
|
|
|
11.5
|
|
|
19,839
|
|
|
7,730
|
|
|
11,166
|
|
||||||
Tier 1 Capital:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
BB&T Corporation
|
|
11.9
|
|
|
21,102
|
|
|
10,633
|
|
|
14,177
|
|
|
12.0
|
|
|
21,102
|
|
|
10,568
|
|
|
14,091
|
|
||||||
Branch Bank
|
|
11.3
|
|
|
19,480
|
|
|
10,336
|
|
|
13,781
|
|
|
11.5
|
|
|
19,839
|
|
|
10,307
|
|
|
13,743
|
|
||||||
Total Capital:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
BB&T Corporation
|
|
13.9
|
|
|
24,653
|
|
|
14,177
|
|
|
17,722
|
|
|
14.1
|
|
|
24,872
|
|
|
14,091
|
|
|
17,614
|
|
||||||
Branch Bank
|
|
13.3
|
|
|
22,915
|
|
|
13,781
|
|
|
17,226
|
|
|
13.6
|
|
|
23,289
|
|
|
13,743
|
|
|
17,179
|
|
||||||
Leverage Capital:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
BB&T Corporation
|
|
9.9
|
|
|
21,102
|
|
|
8,567
|
|
|
10,708
|
|
|
10.0
|
|
|
21,102
|
|
|
8,460
|
|
|
10,576
|
|
||||||
Branch Bank
|
|
9.4
|
|
|
19,480
|
|
|
8,315
|
|
|
10,394
|
|
|
9.6
|
|
|
19,839
|
|
|
8,249
|
|
|
10,311
|
|
Parent Company - Condensed Balance Sheets
|
|
December 31,
|
||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||
Assets:
|
|
|
|
|
||||
Cash and due from banks
|
|
$
|
13
|
|
|
$
|
21
|
|
Interest-bearing deposits with banks
|
|
6,365
|
|
|
7,094
|
|
||
AFS securities at fair value
|
|
133
|
|
|
134
|
|
||
HTM securities at amortized cost
|
|
1
|
|
|
1
|
|
||
Advances to / receivables from subsidiaries:
|
|
|
|
|
||||
Banking
|
|
2,454
|
|
|
850
|
|
||
Nonbank
|
|
3,664
|
|
|
2,981
|
|
||
Total advances to / receivables from subsidiaries
|
|
6,118
|
|
|
3,831
|
|
||
Investment in subsidiaries:
|
|
|
|
|
||||
Banking
|
|
27,846
|
|
|
28,444
|
|
||
Nonbank
|
|
1,373
|
|
|
1,279
|
|
||
Total investment in subsidiaries
|
|
29,219
|
|
|
29,723
|
|
||
Other assets
|
|
66
|
|
|
131
|
|
||
Total assets
|
|
$
|
41,915
|
|
|
$
|
40,935
|
|
|
|
|
|
|
||||
Liabilities and Shareholders' Equity:
|
|
|
|
|
||||
Short-term borrowings
|
|
$
|
7
|
|
|
$
|
46
|
|
Long-term debt
|
|
12,042
|
|
|
10,836
|
|
||
Accounts payable and other liabilities
|
|
171
|
|
|
127
|
|
||
Total liabilities
|
|
12,220
|
|
|
11,009
|
|
||
Total shareholders' equity
|
|
29,695
|
|
|
29,926
|
|
||
Total liabilities and shareholders' equity
|
|
$
|
41,915
|
|
|
$
|
40,935
|
|
Parent Company - Condensed Income and Comprehensive Income Statements
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Income:
|
|
|
|
|
|
|
|
|||||
Dividends from subsidiaries:
|
|
|
|
|
|
|
||||||
Banking
|
|
$
|
1,950
|
|
|
$
|
1,350
|
|
|
$
|
1,600
|
|
Nonbank
|
|
40
|
|
|
6
|
|
|
411
|
|
|||
Total dividends from subsidiaries
|
|
1,990
|
|
|
1,356
|
|
|
2,011
|
|
|||
Interest and other income from subsidiaries
|
|
112
|
|
|
73
|
|
|
64
|
|
|||
Other income
|
|
2
|
|
|
3
|
|
|
3
|
|
|||
Total income
|
|
2,104
|
|
|
1,432
|
|
|
2,078
|
|
|||
Expenses:
|
|
|
|
|
|
|
|
|
||||
Interest expense
|
|
227
|
|
|
160
|
|
|
165
|
|
|||
Other expenses
|
|
83
|
|
|
56
|
|
|
103
|
|
|||
Total expenses
|
|
310
|
|
|
216
|
|
|
268
|
|
|||
Income before income taxes and equity in undistributed earnings of subsidiaries
|
|
1,794
|
|
|
1,216
|
|
|
1,810
|
|
|||
Income tax benefit
|
|
63
|
|
|
38
|
|
|
40
|
|
|||
Income before equity in undistributed earnings of subsidiaries
|
|
1,857
|
|
|
1,254
|
|
|
1,850
|
|
|||
Equity in undistributed earnings of subsidiaries in excess of dividends from subsidiaries
|
|
558
|
|
|
1,188
|
|
|
273
|
|
|||
Net income
|
|
2,415
|
|
|
2,442
|
|
|
2,123
|
|
|||
Total OCI
|
|
(88
|
)
|
|
(104
|
)
|
|
(277
|
)
|
|||
Total comprehensive income
|
|
$
|
2,327
|
|
|
$
|
2,338
|
|
|
$
|
1,846
|
|
Parent Company - Statements of Cash Flows
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Cash Flows From Operating Activities:
|
|
|
|
|
|
|
|
|||||
Net income
|
|
$
|
2,415
|
|
|
$
|
2,442
|
|
|
$
|
2,123
|
|
Adjustments to reconcile net income to net cash from operating activities:
|
|
|
|
|
|
|
||||||
Equity in earnings of subsidiaries in excess of dividends from subsidiaries
|
|
(558
|
)
|
|
(1,188
|
)
|
|
(273
|
)
|
|||
Other, net
|
|
—
|
|
|
(14
|
)
|
|
35
|
|
|||
Net cash from operating activities
|
|
1,857
|
|
|
1,240
|
|
|
1,885
|
|
|||
Cash Flows From Investing Activities:
|
|
|
|
|
|
|
|
|
||||
Proceeds from maturities, calls and paydowns of AFS securities
|
|
29
|
|
|
27
|
|
|
49
|
|
|||
Purchases of AFS securities
|
|
(29
|
)
|
|
(31
|
)
|
|
(21
|
)
|
|||
Proceeds from maturities, calls and paydowns of HTM securities
|
|
—
|
|
|
2
|
|
|
27
|
|
|||
Investment in subsidiaries
|
|
1,100
|
|
|
(85
|
)
|
|
17
|
|
|||
Advances to subsidiaries
|
|
(6,958
|
)
|
|
(7,719
|
)
|
|
(7,461
|
)
|
|||
Proceeds from repayment of advances to subsidiaries
|
|
4,671
|
|
|
6,975
|
|
|
6,831
|
|
|||
Net cash from acquisitions and divestitures
|
|
—
|
|
|
(254
|
)
|
|
(595
|
)
|
|||
Other, net
|
|
1
|
|
|
—
|
|
|
—
|
|
|||
Net cash from investing activities
|
|
(1,186
|
)
|
|
(1,085
|
)
|
|
(1,153
|
)
|
|||
Cash Flows From Financing Activities:
|
|
|
|
|
|
|
|
|
||||
Net change in short-term borrowings
|
|
(39
|
)
|
|
(60
|
)
|
|
30
|
|
|||
Net change in long-term debt
|
|
1,319
|
|
|
465
|
|
|
(92
|
)
|
|||
Repurchase of common stock
|
|
(1,613
|
)
|
|
(520
|
)
|
|
—
|
|
|||
Net cash from common stock transactions in connection with equity awards
|
|
108
|
|
|
218
|
|
|
68
|
|
|||
Net proceeds from preferred stock issued
|
|
—
|
|
|
450
|
|
|
—
|
|
|||
Cash dividends paid on common and preferred stock
|
|
(1,179
|
)
|
|
(1,092
|
)
|
|
(937
|
)
|
|||
Other, net
|
|
(4
|
)
|
|
7
|
|
|
—
|
|
|||
Net cash from financing activities
|
|
(1,408
|
)
|
|
(532
|
)
|
|
(931
|
)
|
|||
Net Change in Cash and Cash Equivalents
|
|
(737
|
)
|
|
(377
|
)
|
|
(199
|
)
|
|||
Cash and Cash Equivalents at Beginning of Period
|
|
7,115
|
|
|
7,492
|
|
|
7,691
|
|
|||
Cash and Cash Equivalents at End of Period
|
|
$
|
6,378
|
|
|
$
|
7,115
|
|
|
$
|
7,492
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
||||||||
(Dollars in millions)
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Trading securities
|
|
$
|
633
|
|
|
$
|
363
|
|
|
$
|
270
|
|
|
$
|
—
|
|
AFS securities:
|
|
|
|
|
|
|
|
|
|
|||||||
U.S. Treasury
|
|
2,291
|
|
|
—
|
|
|
2,291
|
|
|
—
|
|
||||
GSE
|
|
179
|
|
|
—
|
|
|
179
|
|
|
—
|
|
||||
Agency MBS
|
|
20,101
|
|
|
—
|
|
|
20,101
|
|
|
—
|
|
||||
States and political subdivisions
|
|
1,392
|
|
|
—
|
|
|
1,392
|
|
|
—
|
|
||||
Non-agency MBS
|
|
576
|
|
|
—
|
|
|
144
|
|
|
432
|
|
||||
Other
|
|
8
|
|
|
6
|
|
|
2
|
|
|
—
|
|
||||
Total AFS securities
|
|
24,547
|
|
|
6
|
|
|
24,109
|
|
|
432
|
|
||||
LHFS
|
|
1,099
|
|
|
—
|
|
|
1,099
|
|
|
—
|
|
||||
MSRs
|
|
1,056
|
|
|
—
|
|
|
—
|
|
|
1,056
|
|
||||
Derivative assets:
|
|
|
|
|
|
|
|
|
|
|||||||
Interest rate contracts
|
|
440
|
|
|
—
|
|
|
434
|
|
|
6
|
|
||||
Foreign exchange contracts
|
|
3
|
|
|
—
|
|
|
3
|
|
|
—
|
|
||||
Total derivative assets
|
|
443
|
|
|
—
|
|
|
437
|
|
|
6
|
|
||||
Private equity investments
|
|
404
|
|
|
—
|
|
|
—
|
|
|
404
|
|
||||
Total assets
|
|
$
|
28,182
|
|
|
$
|
369
|
|
|
$
|
25,915
|
|
|
$
|
1,898
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Derivative liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest rate contracts
|
|
$
|
708
|
|
|
$
|
—
|
|
|
$
|
705
|
|
|
$
|
3
|
|
Foreign exchange contracts
|
|
6
|
|
|
—
|
|
|
6
|
|
|
—
|
|
||||
Total derivative liabilities
|
|
714
|
|
|
—
|
|
|
711
|
|
|
3
|
|
||||
Securities sold short
|
|
120
|
|
|
—
|
|
|
120
|
|
|
—
|
|
||||
Total liabilities
|
|
$
|
834
|
|
|
$
|
—
|
|
|
$
|
831
|
|
|
$
|
3
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
||||||||
(Dollars in millions)
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Trading securities
|
|
$
|
748
|
|
|
$
|
324
|
|
|
$
|
424
|
|
|
$
|
—
|
|
AFS securities:
|
|
|
|
|
|
|
|
|
|
|||||||
U.S. Treasury
|
|
2,587
|
|
|
—
|
|
|
2,587
|
|
|
—
|
|
||||
GSE
|
|
180
|
|
|
—
|
|
|
180
|
|
|
—
|
|
||||
Agency MBS
|
|
21,264
|
|
|
—
|
|
|
21,264
|
|
|
—
|
|
||||
States and political subdivisions
|
|
2,205
|
|
|
—
|
|
|
2,205
|
|
|
—
|
|
||||
Non-agency MBS
|
|
679
|
|
|
—
|
|
|
172
|
|
|
507
|
|
||||
Other
|
|
11
|
|
|
8
|
|
|
3
|
|
|
—
|
|
||||
Total AFS securities
|
|
26,926
|
|
|
8
|
|
|
26,411
|
|
|
507
|
|
||||
LHFS
|
|
1,716
|
|
|
—
|
|
|
1,716
|
|
|
—
|
|
||||
MSRs
|
|
1,052
|
|
|
—
|
|
|
—
|
|
|
1,052
|
|
||||
Derivative assets:
|
|
|
|
|
|
|
|
|
|
|||||||
Interest rate contracts
|
|
814
|
|
|
—
|
|
|
807
|
|
|
7
|
|
||||
Foreign exchange contracts
|
|
8
|
|
|
—
|
|
|
8
|
|
|
—
|
|
||||
Total derivative assets
|
|
822
|
|
|
—
|
|
|
815
|
|
|
7
|
|
||||
Private equity investments
|
|
362
|
|
|
—
|
|
|
—
|
|
|
362
|
|
||||
Total assets
|
|
$
|
31,626
|
|
|
$
|
332
|
|
|
$
|
29,366
|
|
|
$
|
1,928
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Derivative liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest rate contracts
|
|
$
|
998
|
|
|
$
|
—
|
|
|
$
|
978
|
|
|
$
|
20
|
|
Foreign exchange contracts
|
|
5
|
|
|
—
|
|
|
5
|
|
|
—
|
|
||||
Total derivative liabilities
|
|
1,003
|
|
|
—
|
|
|
983
|
|
|
20
|
|
||||
Securities sold short
|
|
137
|
|
|
—
|
|
|
137
|
|
|
—
|
|
||||
Total liabilities
|
|
$
|
1,140
|
|
|
$
|
—
|
|
|
$
|
1,120
|
|
|
$
|
20
|
|
|
|
Non-agency MBS
|
|
MSRs
|
|
Net Derivatives
|
|
Private Equity Investments
|
||||||||
(Dollars in millions)
|
|
|
|
|
||||||||||||
Balance at January 1, 2015
|
|
$
|
745
|
|
|
$
|
844
|
|
|
$
|
17
|
|
|
$
|
329
|
|
Total realized and unrealized gains (losses):
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Included in earnings (1)
|
|
23
|
|
|
10
|
|
|
81
|
|
|
49
|
|
||||
Included in unrealized holding gains (losses) in OCI
|
|
(45
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Purchases
|
|
—
|
|
|
—
|
|
|
1
|
|
|
81
|
|
||||
Issuances
|
|
—
|
|
|
156
|
|
|
74
|
|
|
—
|
|
||||
Sales
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(132
|
)
|
||||
Settlements
|
|
(97
|
)
|
|
(130
|
)
|
|
(169
|
)
|
|
(38
|
)
|
||||
Transfers into Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Transfers out of Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Balance at December 31, 2015
|
|
626
|
|
|
880
|
|
|
4
|
|
|
289
|
|
||||
Total realized and unrealized gains (losses):
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Included in earnings (1)
|
|
25
|
|
|
63
|
|
|
97
|
|
|
20
|
|
||||
Included in unrealized net holding gains (losses) in OCI
|
|
(45
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Purchases
|
|
—
|
|
|
—
|
|
|
—
|
|
|
106
|
|
||||
Issuances
|
|
—
|
|
|
146
|
|
|
82
|
|
|
—
|
|
||||
Sales
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4
|
)
|
||||
Settlements
|
|
(99
|
)
|
|
(160
|
)
|
|
(196
|
)
|
|
(49
|
)
|
||||
Transfers into Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Transfers out of Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Adoption of fair value option for commercial MSRs
|
|
—
|
|
|
123
|
|
|
—
|
|
|
—
|
|
||||
Balance at December 31, 2016
|
|
507
|
|
|
1,052
|
|
|
(13
|
)
|
|
362
|
|
||||
Total realized and unrealized gains (losses):
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Included in earnings (1)
|
|
36
|
|
|
48
|
|
|
38
|
|
|
58
|
|
||||
Included in unrealized net holding gains (losses) in OCI
|
|
(40
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Purchases
|
|
—
|
|
|
—
|
|
|
—
|
|
|
142
|
|
||||
Issuances
|
|
—
|
|
|
124
|
|
|
43
|
|
|
—
|
|
||||
Sales
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(119
|
)
|
||||
Settlements
|
|
(71
|
)
|
|
(168
|
)
|
|
(65
|
)
|
|
(26
|
)
|
||||
Transfers into Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Transfers out of Level 3
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(13
|
)
|
||||
Balance at December 31, 2017
|
|
$
|
432
|
|
|
$
|
1,056
|
|
|
$
|
3
|
|
|
$
|
404
|
|
|
|
|
|
|
|
|
|
|
||||||||
Change in unrealized gains (losses) included in earnings for the year attributable to assets and liabilities still held at December 31, 2017
|
|
$
|
35
|
|
|
$
|
48
|
|
|
$
|
3
|
|
|
$
|
12
|
|
(1)
|
Amounts related to non-agency MBS are included in interest income, amounts related to MSRs and net derivatives are primarily included in mortgage banking income and amounts related to private equity investments are included in other income in the Consolidated Statements of Income.
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
(Dollars in millions)
|
|
Fair Value
|
|
Aggregate UPB
|
|
Difference
|
|
Fair Value
|
|
Aggregate UPB
|
|
Difference
|
||||||||||||
LHFS reported at fair value
|
|
$
|
1,099
|
|
|
$
|
1,084
|
|
|
$
|
15
|
|
|
$
|
1,716
|
|
|
$
|
1,736
|
|
|
$
|
(20
|
)
|
|
|
As Of / For the Year Ended
|
||||||||||||||
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||
(Dollars in millions)
|
|
Carrying Value
|
|
Valuation Adjustments
|
|
Carrying Value
|
|
Valuation Adjustments
|
||||||||
Impaired loans
|
|
$
|
163
|
|
|
$
|
(22
|
)
|
|
$
|
278
|
|
|
$
|
(89
|
)
|
Foreclosed real estate
|
|
32
|
|
|
(255
|
)
|
|
50
|
|
|
(221
|
)
|
December 31, 2017
|
|
Carrying Amount
|
|
Total Fair Value
|
|
Level 2
|
|
Level 3
|
||||||||
(Dollars in millions)
|
|
|
|
|
||||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
||||||||
HTM securities
|
|
$
|
23,027
|
|
|
$
|
22,837
|
|
|
$
|
22,837
|
|
|
$
|
—
|
|
Loans and leases HFI, net of ALLL
|
|
142,211
|
|
|
141,664
|
|
|
—
|
|
|
141,664
|
|
||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Deposits
|
|
157,371
|
|
|
157,466
|
|
|
157,466
|
|
|
—
|
|
||||
Long-term debt
|
|
23,648
|
|
|
23,885
|
|
|
23,885
|
|
|
—
|
|
December 31, 2016
|
|
Carrying Amount
|
|
Total Fair Value
|
|
Level 2
|
|
Level 3
|
||||||||
(Dollars in millions)
|
|
|
|
|
||||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
||||||||
HTM securities
|
|
$
|
16,680
|
|
|
$
|
16,546
|
|
|
$
|
16,546
|
|
|
$
|
—
|
|
Loans and leases HFI, net of ALLL
|
|
141,833
|
|
|
142,044
|
|
|
—
|
|
|
142,044
|
|
||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Deposits
|
|
160,234
|
|
|
160,403
|
|
|
160,403
|
|
|
—
|
|
||||
Long-term debt
|
|
21,965
|
|
|
22,423
|
|
|
22,423
|
|
|
—
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||
(Dollars in millions)
|
|
Notional/Contract Amount
|
|
Fair Value
|
|
Notional/Contract Amount
|
|
Fair Value
|
||||||||
Commitments to extend, originate or purchase credit
|
|
$
|
67,860
|
|
|
$
|
259
|
|
|
$
|
64,395
|
|
|
$
|
250
|
|
Residential mortgage loans sold with recourse
|
|
490
|
|
|
5
|
|
|
578
|
|
|
7
|
|
||||
Other loans sold with recourse
|
|
4,153
|
|
|
5
|
|
|
4,240
|
|
|
7
|
|
||||
Letters of credit
|
|
2,466
|
|
|
21
|
|
|
2,786
|
|
|
27
|
|
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
|
|
|
|
Notional Amount
|
|
Fair Value
|
|
Notional Amount
|
|
Fair Value
|
||||||||||||||||
(Dollars in millions)
|
|
Hedged Item or Transaction
|
|
|
Gain
|
|
Loss
|
|
|
Gain
|
|
Loss
|
||||||||||||||
Cash flow hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate contracts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pay fixed swaps
|
|
3 mo. LIBOR funding
|
|
$
|
6,500
|
|
|
$
|
—
|
|
|
$
|
(126
|
)
|
|
$
|
7,050
|
|
|
$
|
—
|
|
|
$
|
(187
|
)
|
Fair value hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Interest rate contracts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Receive fixed swaps
|
|
Long-term debt
|
|
15,538
|
|
|
118
|
|
|
(166
|
)
|
|
12,099
|
|
|
202
|
|
|
(100
|
)
|
||||||
Options
|
|
Long-term debt
|
|
6,087
|
|
|
—
|
|
|
(1
|
)
|
|
2,790
|
|
|
—
|
|
|
(1
|
)
|
||||||
Pay fixed swaps
|
|
Commercial loans
|
|
416
|
|
|
5
|
|
|
(1
|
)
|
|
346
|
|
|
4
|
|
|
(2
|
)
|
||||||
Pay fixed swaps
|
|
Municipal securities
|
|
231
|
|
|
—
|
|
|
(76
|
)
|
|
231
|
|
|
—
|
|
|
(83
|
)
|
||||||
Total
|
|
|
|
22,272
|
|
|
123
|
|
|
(244
|
)
|
|
15,466
|
|
|
206
|
|
|
(186
|
)
|
||||||
Not designated as hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Client-related and other risk management:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest rate contracts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Receive fixed swaps
|
|
|
|
10,880
|
|
|
141
|
|
|
(61
|
)
|
|
9,989
|
|
|
235
|
|
|
(44
|
)
|
||||||
Pay fixed swaps
|
|
|
|
10,962
|
|
|
59
|
|
|
(155
|
)
|
|
10,263
|
|
|
43
|
|
|
(252
|
)
|
||||||
Other swaps
|
|
|
|
936
|
|
|
2
|
|
|
(2
|
)
|
|
1,086
|
|
|
2
|
|
|
(5
|
)
|
||||||
Other
|
|
|
|
722
|
|
|
2
|
|
|
(2
|
)
|
|
709
|
|
|
2
|
|
|
(2
|
)
|
||||||
Forward commitments
|
|
|
|
3,549
|
|
|
3
|
|
|
(2
|
)
|
|
5,972
|
|
|
29
|
|
|
(28
|
)
|
||||||
Foreign exchange contracts
|
|
470
|
|
|
3
|
|
|
(6
|
)
|
|
669
|
|
|
8
|
|
|
(5
|
)
|
||||||||
Total
|
|
|
|
27,519
|
|
|
210
|
|
|
(228
|
)
|
|
28,688
|
|
|
319
|
|
|
(336
|
)
|
||||||
Mortgage banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest rate contracts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest rate lock commitments
|
|
1,308
|
|
|
7
|
|
|
(3
|
)
|
|
2,219
|
|
|
7
|
|
|
(20
|
)
|
||||||||
When issued securities, forward rate agreements and forward commitments
|
|
3,124
|
|
|
4
|
|
|
(3
|
)
|
|
6,683
|
|
|
51
|
|
|
(14
|
)
|
||||||||
Other
|
|
|
|
182
|
|
|
1
|
|
|
—
|
|
|
449
|
|
|
2
|
|
|
(1
|
)
|
||||||
Total
|
|
|
|
4,614
|
|
|
12
|
|
|
(6
|
)
|
|
9,351
|
|
|
60
|
|
|
(35
|
)
|
||||||
MSRs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest rate contracts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Receive fixed swaps
|
|
|
|
4,498
|
|
|
15
|
|
|
(86
|
)
|
|
5,034
|
|
|
18
|
|
|
(236
|
)
|
||||||
Pay fixed swaps
|
|
|
|
3,418
|
|
|
32
|
|
|
(13
|
)
|
|
3,768
|
|
|
56
|
|
|
(7
|
)
|
||||||
Options
|
|
|
|
4,535
|
|
|
50
|
|
|
(11
|
)
|
|
5,710
|
|
|
160
|
|
|
(8
|
)
|
||||||
When issued securities, forward rate agreements and forward commitments
|
|
1,813
|
|
|
1
|
|
|
—
|
|
|
3,210
|
|
|
3
|
|
|
(8
|
)
|
||||||||
Other
|
|
|
|
3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total
|
|
|
|
14,267
|
|
|
98
|
|
|
(110
|
)
|
|
17,722
|
|
|
237
|
|
|
(259
|
)
|
||||||
Total derivatives not designated as hedges
|
|
46,400
|
|
|
320
|
|
|
(344
|
)
|
|
55,761
|
|
|
616
|
|
|
(630
|
)
|
||||||||
Total derivatives
|
|
|
|
$
|
75,172
|
|
|
443
|
|
|
(714
|
)
|
|
$
|
78,277
|
|
|
822
|
|
|
(1,003
|
)
|
||||
Gross amounts not offset in the Consolidated Balance Sheets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Amounts subject to master netting arrangements not offset due to policy election
|
|
|
|
(297
|
)
|
|
297
|
|
|
|
|
(443
|
)
|
|
443
|
|
||||||||||
Cash collateral (received) posted
|
|
|
|
|
(20
|
)
|
|
344
|
|
|
|
|
|
(119
|
)
|
|
450
|
|
||||||||
Net amount
|
|
|
|
|
|
|
$
|
126
|
|
|
$
|
(73
|
)
|
|
|
|
|
$
|
260
|
|
|
$
|
(110
|
)
|
|
|
Effective Portion
|
||||||||||||||||||||||||
Year Ended December 31
|
|
Pre-tax Gain (Loss) Recognized in OCI
|
|
Location of Amounts Reclassified from AOCI into Income
|
|
Pre-tax Gain (Loss) Reclassified from AOCI into Income
|
||||||||||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||
Cash Flow Hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate contracts
|
|
$
|
10
|
|
|
$
|
(24
|
)
|
|
$
|
(130
|
)
|
|
Total interest expense
|
|
$
|
(15
|
)
|
|
$
|
(11
|
)
|
|
$
|
(83
|
)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
|
|
|
|
|
|
|
Location of Amounts Recognized in Income
|
|
Pre-tax Gain (Loss) Recognized in Income
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
(Dollars in millions)
|
||||||||||||||||
Fair Value Hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
Total interest income
|
|
$
|
(19
|
)
|
|
$
|
(18
|
)
|
|
$
|
(20
|
)
|
||||||
Interest rate contracts
|
|
|
|
|
|
|
|
Total interest expense
|
|
148
|
|
|
226
|
|
|
279
|
|
|||||||||
Total
|
|
|
|
|
|
|
|
|
|
$
|
129
|
|
|
$
|
208
|
|
|
$
|
259
|
|
||||||
Not Designated as Hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Client-related and other risk management:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
Other income
|
|
$
|
50
|
|
|
$
|
52
|
|
|
$
|
27
|
|
||||||
Foreign exchange contracts
|
|
|
|
|
|
Other income
|
|
1
|
|
|
11
|
|
|
21
|
|
|||||||||||
Mortgage Banking:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
Mortgage banking income
|
|
(12
|
)
|
|
8
|
|
|
7
|
|
|||||||||
MSRs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate contracts
|
|
|
|
|
|
|
|
Mortgage banking income
|
|
—
|
|
|
31
|
|
|
32
|
|
|||||||||
Total
|
|
|
|
|
|
|
|
|
|
$
|
39
|
|
|
$
|
102
|
|
|
$
|
87
|
|
|
|
Cash Flow Hedges
|
|
Fair Value Hedges
|
|
Derivatives Not Designated as Hedges
|
Risk exposure
|
|
Variability in cash flows of interest payments on floating rate business loans, overnight funding and various LIBOR funding instruments.
|
|
Losses in value on fixed rate long-term debt, CDs, FHLB advances, loans and state and political subdivision securities due to changes in interest rates.
|
|
Risk associated with an asset or liability, including mortgage banking operations and MSRs, or for client needs. Includes exposure to changes in market rates and conditions subsequent to the interest rate lock and funding date for mortgage loans originated for sale.
|
Risk management objective
|
|
Hedge the variability in the interest payments and receipts on future cash flows for forecasted transactions related to the first unhedged payments and receipts of variable interest.
|
|
Convert the fixed rate paid or received to a floating rate, primarily through the use of swaps.
|
|
For interest rate lock commitment derivatives and LHFS, use mortgage-based derivatives such as forward commitments and options to mitigate market risk. For MSRs, mitigate the income statement effect of changes in the fair value of the MSRs.
|
Treatment for portion that is highly effective
|
|
Recognized in AOCI until the related cash flows from the hedged item are recognized in earnings.
|
|
Recognized in current period income along with the corresponding changes in the fair value of the designated hedged item attributable to the risk being hedged.
|
|
Entire change in fair value recognized in current period income.
|
Treatment for portion that is ineffective
|
|
Recognized in current period income.
|
|
Recognized in current period income.
|
|
Not applicable
|
Treatment if hedge ceases to be highly effective or is terminated
|
|
Hedge is dedesignated. Effective changes in value that are recorded in AOCI before dedesignation are amortized to yield over the period the forecasted hedged transactions impact earnings.
|
|
If hedged item remains outstanding, cash flows from terminations are reported in the same category as the cash flows from the hedged item and effective changes in value are reflected as part of the carrying value of the financial instrument and amortized to earnings over its estimated remaining life.
|
|
Not applicable
|
Treatment if transaction is no longer probable of occurring during forecast period or within a short period thereafter
|
|
Hedge accounting is ceased and any gain or loss in AOCI is reported in earnings immediately.
|
|
Not applicable
|
|
Not applicable
|
|
|
December 31,
|
||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
||||||
Cash flow hedges:
|
|
|
|
|
|
|
|
|||
Net unrecognized after-tax loss on active hedges recorded in AOCI
|
|
$
|
(96
|
)
|
|
|
$
|
(118
|
)
|
|
Net unrecognized after-tax gain on terminated hedges recorded in AOCI (to be recognized in earnings through 2022)
|
|
3
|
|
|
|
26
|
|
|
||
Estimated portion of net after-tax loss on active and terminated hedges to be reclassified from AOCI into earnings during the next 12 months
|
|
(25
|
)
|
|
|
(4
|
)
|
|
||
Maximum time period over which BB&T has hedged a portion of the variability in future cash flows for forecasted transactions excluding those transactions relating to the payment of variable interest on existing instruments
|
|
5
|
|
yrs
|
|
6
|
|
yrs
|
||
Fair value hedges:
|
|
|
|
|
|
|
|
|||
Unrecognized pre-tax net gain on terminated hedges (to be recognized as interest primarily through 2019)
|
|
$
|
129
|
|
|
|
$
|
169
|
|
|
Portion of pre-tax net gain on terminated hedges to be recognized as a change in interest during the next 12 months
|
|
49
|
|
|
|
56
|
|
|
|
December 31,
|
||||||
(Dollars in millions)
|
2017
|
|
2016
|
||||
Dealer Counterparties:
|
|
|
|
||||
Cash collateral received from dealer counterparties
|
$
|
21
|
|
|
$
|
123
|
|
Derivatives in a net gain position secured by collateral received
|
22
|
|
|
123
|
|
||
Unsecured positions in a net gain with dealer counterparties after collateral postings
|
2
|
|
|
4
|
|
||
Cash collateral posted to dealer counterparties
|
172
|
|
|
138
|
|
||
Derivatives in a net loss position secured by collateral posted
|
171
|
|
|
144
|
|
||
Additional collateral that would have been posted had BB&T's credit ratings dropped below investment grade
|
—
|
|
|
8
|
|
||
Central Clearing Parties:
|
|
|
|
|
|||
Cash collateral, including initial margin, posted to central clearing parties
|
177
|
|
|
313
|
|
||
Derivatives in a net loss position secured by that collateral
|
176
|
|
|
318
|
|
||
Securities pledged to central clearing parties
|
91
|
|
|
119
|
|
|
|
Year Ended December 31,
|
||||||||||
(Dollars in millions, except per share data, shares in thousands)
|
|
2017
|
|
2016
|
|
2015
|
||||||
Net income available to common shareholders
|
|
$
|
2,220
|
|
|
$
|
2,259
|
|
|
$
|
1,936
|
|
|
|
|
|
|
|
|
||||||
Weighted average number of common shares
|
|
799,217
|
|
|
804,680
|
|
|
748,010
|
|
|||
Effect of dilutive outstanding equity-based awards
|
|
11,760
|
|
|
10,236
|
|
|
9,755
|
|
|||
Weighted average number of diluted common shares
|
|
810,977
|
|
|
814,916
|
|
|
757,765
|
|
|||
|
|
|
|
|
|
|
||||||
Basic EPS
|
|
$
|
2.78
|
|
|
$
|
2.81
|
|
|
$
|
2.59
|
|
Diluted EPS
|
|
$
|
2.74
|
|
|
$
|
2.77
|
|
|
$
|
2.56
|
|
|
|
|
|
|
|
|
||||||
Anti-dilutive awards
|
|
210
|
|
|
5,609
|
|
|
8,620
|
|
Year Ended December 31,
|
|
CB-Retail
|
|
CB-Commercial
|
|
FS&CF
|
||||||||||||||||||||||||||||||
(Dollars in millions)
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||
Net interest income (expense)
|
|
$
|
3,415
|
|
|
$
|
3,290
|
|
|
$
|
3,035
|
|
|
$
|
1,740
|
|
|
$
|
1,604
|
|
|
$
|
1,345
|
|
|
$
|
583
|
|
|
$
|
511
|
|
|
$
|
443
|
|
Net intersegment interest income (expense)
|
|
149
|
|
|
115
|
|
|
(119
|
)
|
|
379
|
|
|
404
|
|
|
324
|
|
|
127
|
|
|
142
|
|
|
110
|
|
|||||||||
Segment net interest income
|
|
3,564
|
|
|
3,405
|
|
|
2,916
|
|
|
2,119
|
|
|
2,008
|
|
|
1,669
|
|
|
710
|
|
|
653
|
|
|
553
|
|
|||||||||
Allocated provision for credit losses
|
|
501
|
|
|
475
|
|
|
365
|
|
|
69
|
|
|
(40
|
)
|
|
1
|
|
|
(15
|
)
|
|
128
|
|
|
67
|
|
|||||||||
Segment net interest income after provision
|
|
3,063
|
|
|
2,930
|
|
|
2,551
|
|
|
2,050
|
|
|
2,048
|
|
|
1,668
|
|
|
725
|
|
|
525
|
|
|
486
|
|
|||||||||
Noninterest income
|
|
1,404
|
|
|
1,354
|
|
|
1,342
|
|
|
423
|
|
|
392
|
|
|
390
|
|
|
1,181
|
|
|
1,148
|
|
|
1,046
|
|
|||||||||
Noninterest expense
|
|
2,725
|
|
|
2,469
|
|
|
2,357
|
|
|
1,198
|
|
|
1,302
|
|
|
1,153
|
|
|
1,190
|
|
|
1,141
|
|
|
1,020
|
|
|||||||||
Income (loss) before income taxes
|
|
1,742
|
|
|
1,815
|
|
|
1,536
|
|
|
1,275
|
|
|
1,138
|
|
|
905
|
|
|
716
|
|
|
532
|
|
|
512
|
|
|||||||||
Provision (benefit) for income taxes
|
|
650
|
|
|
686
|
|
|
588
|
|
|
441
|
|
|
403
|
|
|
324
|
|
|
225
|
|
|
156
|
|
|
151
|
|
|||||||||
Segment net income (loss)
|
|
$
|
1,092
|
|
|
$
|
1,129
|
|
|
$
|
948
|
|
|
$
|
834
|
|
|
$
|
735
|
|
|
$
|
581
|
|
|
$
|
491
|
|
|
$
|
376
|
|
|
$
|
361
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Identifiable assets (period end)
|
|
$
|
71,093
|
|
|
$
|
74,642
|
|
|
$
|
71,027
|
|
|
$
|
56,563
|
|
|
$
|
55,035
|
|
|
$
|
51,231
|
|
|
$
|
29,144
|
|
|
$
|
26,795
|
|
|
$
|
25,294
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
|
IH&PF
|
|
OT&C (1)
|
|
Total BB&T Corporation
|
||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||
Net interest income (expense)
|
|
$
|
98
|
|
|
$
|
86
|
|
|
$
|
79
|
|
|
$
|
699
|
|
|
$
|
830
|
|
|
$
|
690
|
|
|
$
|
6,535
|
|
|
$
|
6,321
|
|
|
$
|
5,592
|
|
Net intersegment interest income (expense)
|
|
(21
|
)
|
|
(19
|
)
|
|
(16
|
)
|
|
(634
|
)
|
|
(642
|
)
|
|
(299
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Segment net interest income
|
|
77
|
|
|
67
|
|
|
63
|
|
|
65
|
|
|
188
|
|
|
391
|
|
|
6,535
|
|
|
6,321
|
|
|
5,592
|
|
|||||||||
Allocated provision for credit losses
|
|
4
|
|
|
3
|
|
|
4
|
|
|
(12
|
)
|
|
6
|
|
|
(9
|
)
|
|
547
|
|
|
572
|
|
|
428
|
|
|||||||||
Segment net interest income after provision
|
|
73
|
|
|
64
|
|
|
59
|
|
|
77
|
|
|
182
|
|
|
400
|
|
|
5,988
|
|
|
5,749
|
|
|
5,164
|
|
|||||||||
Noninterest income
|
|
1,777
|
|
|
1,731
|
|
|
1,611
|
|
|
(3
|
)
|
|
(153
|
)
|
|
(370
|
)
|
|
4,782
|
|
|
4,472
|
|
|
4,019
|
|
|||||||||
Noninterest expense
|
|
1,590
|
|
|
1,525
|
|
|
1,371
|
|
|
741
|
|
|
284
|
|
|
365
|
|
|
7,444
|
|
|
6,721
|
|
|
6,266
|
|
|||||||||
Income (loss) before income taxes
|
|
260
|
|
|
270
|
|
|
299
|
|
|
(667
|
)
|
|
(255
|
)
|
|
(335
|
)
|
|
3,326
|
|
|
3,500
|
|
|
2,917
|
|
|||||||||
Provision (benefit) for income taxes
|
|
99
|
|
|
104
|
|
|
105
|
|
|
(504
|
)
|
|
(291
|
)
|
|
(374
|
)
|
|
911
|
|
|
1,058
|
|
|
794
|
|
|||||||||
Segment net income (loss)
|
|
$
|
161
|
|
|
$
|
166
|
|
|
$
|
194
|
|
|
$
|
(163
|
)
|
|
$
|
36
|
|
|
$
|
39
|
|
|
$
|
2,415
|
|
|
$
|
2,442
|
|
|
$
|
2,123
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Identifiable assets (period end)
|
|
$
|
6,024
|
|
|
$
|
5,943
|
|
|
$
|
4,998
|
|
|
$
|
58,818
|
|
|
$
|
56,861
|
|
|
$
|
57,397
|
|
|
$
|
221,642
|
|
|
$
|
219,276
|
|
|
$
|
209,947
|
|
Exhibit No.
|
|
Description
|
|
Location
|
2.1
|
|
Purchase and Assumption Agreement Whole Bank All Deposits, among the Federal Deposit Insurance Corporation, receiver of Colonial Bank, Montgomery, Alabama, the Federal Deposit Insurance Corporation and Branch Banking and Trust Company, dated as of August 14, 2009.
|
|
|
2.2
|
|
Termination agreement among Federal Deposit Insurance Corporation, receiver of Colonial Bank, Federal Deposit Insurance Corporation and Branch Banking & Trust Company dated as of September 14, 2016.
|
|
|
2.3
|
|
Agreement and Plan of Merger, dated as of November 11, 2014, by and between BB&T Corporation and Susquehanna Bancshares, Inc.
|
|
|
2.4
|
|
Agreement and Plan of Merger, dated as of August 17, 2015, by and between BB&T Corporation and National Penn Bancshares, Inc.
|
|
|
3(i)
|
|
Articles of Incorporation of the Registrant, as amended and restated April 30, 2014.
|
|
|
3(ii)
|
|
Articles of Amendment of the Registrant, dated as of March 4, 2016
|
|
|
3(iii)
|
|
Bylaws of the Registrant, as amended and restated December 19, 2017
|
|
|
4.1
|
|
Indenture Regarding Senior Securities (including form of Senior Debt Security) between Registrant and U.S. Bank National Association (as successor in interest to State Street Bank and Trust Company), as trustee, dated as of May 24, 1996.
|
|
|
4.2
|
|
First Supplemental Indenture, dated May 4, 2009, to the Indenture Regarding Senior Securities, dated as of May 24, 1996, between the Registrant and U.S. Bank National Association.
|
|
|
4.3
|
|
Indenture Regarding Subordinated Securities (including Form of Subordinated Debt Security) between the Registrant and U.S. Bank National Association (as successor in interest to State Street Bank and Trust Company), as trustee, dated as of May 24, 1996.
|
|
|
4.4
|
|
First Supplemental Indenture, dated as of December 23, 2003, to the Indenture Regarding Subordinated Securities, dated as of May 24, 1996, between the Registrant and U.S. Bank National Association.
|
|
|
4.5
|
|
Second Supplemental Indenture, dated as of September 24, 2004, to the Indenture Regarding Subordinated Securities, dated as of May 24, 1996, between the Registrant and U.S. Bank National Association.
|
|
|
4.6
|
|
Third Supplemental Indenture, dated May 4, 2009, to the Indenture Regarding Subordinated Securities, dated as of May 24, 1996, between the Registrant and U.S. Bank National Association.
|
|
|
10.1*
|
|
BB&T Corporation Amended and Restated Non-Employee Directors’ Deferred Compensation Plan (amended and restated January 1, 2005).
|
|
|
10.2*
|
|
BB&T Corporation Amended and Restated 2004 Stock Incentive Plan, as amended (as amended through February 24, 2009).
|
|
|
10.3*
|
|
BB&T Corporation 2012 Incentive Plan, as amended
|
|
|
10.4*
|
|
Form of Restricted Stock Unit Agreement (Non-Employee Directors) for the BB&T 2012 Incentive Plan.
|
|
|
10.5*
|
|
Form of Non-Employee Director Nonqualified Stock Option Agreement for the BB&T Corporation Amended and Restated 2004 Stock Incentive Plan (5-Year Vesting).
|
|
Exhibit No.
|
|
Description
|
|
Location
|
10.6*
|
|
Form of Non-Employee Director Nonqualified Stock Option Agreement for the BB&T Corporation Amended and Restated 2004 Stock Incentive Plan (4-Year Vesting).
|
|
|
10.7*
|
|
Form of Employee Nonqualified Stock Option Agreement for the BB&T Corporation Amended and Restated 2004 Stock Incentive Plan (5-Year Vesting).
|
|
|
10.8*
|
|
Form of Employee Nonqualified Stock Option Agreement for the BB&T Corporation Amended and Restated 2004 Stock Incentive Plan (4-Year Vesting).
|
|
|
10.9*
|
|
Southern National Deferred Compensation Plan for Key Executives including amendments.
|
|
|
10.10*
|
|
BB&T Non-Qualified Defined Benefit Plan (January 1, 2012 Restatement).
|
|
|
10.11*
|
|
First Amendment to the BB&T Non-Qualified Defined Benefit Plan (January 1, 2012 Restatement).
|
|
|
10.12*
|
|
Second Amendment to the BB&T Non-Qualified Defined Benefit Plan (January 1, 2012 Restatement).
|
|
|
10.13*
|
|
BB&T Non-Qualified Defined Contribution Plan (January 1, 2012 Restatement).
|
|
|
10.14*
|
|
BB&T Corporation Non-Qualified Deferred Compensation Trust (Amended and Restated Effective January 1, 2012).
|
|
|
10.15*
|
|
Form of Employee Nonqualified Stock Option Agreement for the BB&T Corporation Amended and Restated 2004 Stock Incentive Plan (4-Year Vesting with Clawback Provision).
|
|
|
10.16*
|
|
Form of Employee Nonqualified Stock Option Agreement for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.17*
|
|
Form of Nonqualified Option Agreement (Senior Executive) for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.18*
|
|
Form of Employee Restricted Stock Unit Agreement for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.19*
|
|
Form of Director Restricted Stock Unit Agreement for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.20*
|
|
Form of Restricted Stock Unit Agreement (Performance-Based Vesting Component)(Senior Executive) for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.21*
|
|
Form of Restricted Stock Unit Agreement (Tier 2 Employee) for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.22*
|
|
Form of LTIP Award Agreement for Executive Officers under the BB&T Corporation 2012 Incentive Plan (2014 – 2016 performance period).
|
|
|
10.23*
|
|
Form of LTIP Award Agreement for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.24*
|
|
Modification of 2016-2018 Long-Term Incentive Performance Award - Summary.
|
|
Exhibit No.
|
|
Description
|
|
Location
|
10.25*
|
|
Form of Performance Unit Award Agreement for the BB&T Corporation 2012 Incentive Plan.
|
|
|
10.26*
|
|
Amended and Restated Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and Kelly S. King dated as of December 19, 2012.
|
|
|
10.27*
|
|
2008 Amended and Restated Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and Christopher L. Henson.
|
|
|
10.28*
|
|
2008 Amended and Restated Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and Daryl N. Bible.
|
|
|
10.29*
|
|
2008 Amended and Restated Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and Barbara F. Duck.
|
|
|
10.30*
|
|
2008 Amended and Restated Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and Donna C. Goodrich.
|
|
|
10.31*
|
|
2008 Amended and Restated Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and Clarke R. Starnes, III.
|
|
|
10.32*
|
|
2012 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Co. and William R. Yates.
|
|
|
10.33*
|
|
2014 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Company and Robert J. Johnson, Jr.
|
|
|
10.34*
|
|
2016 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Company and W. Bennett Bradley.
|
|
|
10.35*
|
|
2016 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Company and David H. Weaver.
|
|
|
10.36*
|
|
2016 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Company and Jimmy D. Godwin.
|
|
|
10.37*
|
|
2016 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Company and Brant J. Standridge.
|
|
|
10.38*
|
|
2016 Employment Agreement by and among BB&T Corporation, Branch Banking and Trust Company and Dontá L. Wilson.
|
|
|
11
|
|
Statement re computation of earnings per share.
|
|
|
12†
|
|
Statement re computation of ratios.
|
|
|
21†
|
|
Subsidiaries of the Registrant.
|
|
|
23†
|
|
Consent of Independent Registered Public Accounting Firm.
|
|
|
31.1
|
|
Certification of Chief Executive Officer pursuant to Rule 13a-14(a) or 15(d)-14(a) of the Exchange Act, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
|
31.2
|
|
Certification of Chief Financial Officer pursuant to Rule 13a-14(a) or 15(d)-14(a) of the Exchange Act, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
|
32
|
|
Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
Exhibit No.
|
|
Description
|
|
Location
|
101.CAL
|
|
XBRL Taxonomy Extension Calculation Linkbase.
|
|
Filed herewith.
|
101.DEF
|
|
XBRL Taxonomy Definition Linkbase.
|
|
Filed herewith.
|
101.INS
|
|
XBRL Instance Document.
|
|
Filed herewith.
|
101.LAB
|
|
XBRL Taxonomy Extension Label Linkbase.
|
|
Filed herewith.
|
101.PRE
|
|
XBRL Taxonomy Extension Presentation Linkbase.
|
|
Filed herewith.
|
101.SCH
|
|
XBRL Taxonomy Extension Schema.
|
|
Filed herewith.
|
*
|
Management compensatory plan or arrangement.
|
†
|
Exhibit filed with the SEC and available upon request.
|
|
BB&T Corporation
|
|
|
(Registrant)
|
|
|
|
|
|
|
/s/ Kelly S. King
|
|
|
Kelly S. King
|
|
|
Chairman and Chief Executive Officer
|
/s/ Kelly S. King
|
|
/s/ Charles A. Patton
|
Kelly S. King
|
|
Charles A. Patton
|
Chairman and Chief Executive Officer
|
|
Director
|
|
|
|
/s/ Jennifer S. Banner
|
|
/s/ Nido R. Qubein
|
Jennifer S. Banner
|
|
Nido R. Qubein
|
Director
|
|
Director
|
|
|
|
/s/ K. David Boyer, Jr.
|
|
/s/ William J. Reuter
|
K. David Boyer, Jr.
|
|
William J. Reuter
|
Director
|
|
Director
|
|
|
|
/s/ Anna R. Cablik
|
|
/s/ Tollie W. Rich, Jr.
|
Anna R. Cablik
|
|
Tollie W. Rich, Jr.
|
Director
|
|
Director
|
|
|
|
/s/ I. Patricia Henry
|
|
/s/ Christine Sears
|
I. Patricia Henry
|
|
Christine Sears
|
Director
|
|
Director
|
|
|
|
/s/ Eric C. Kendrick
|
|
/s/ Thomas E. Skains
|
Eric C. Kendrick
|
|
Thomas E. Skains
|
Director
|
|
Director
|
|
|
|
/s/ Dr. Louis B. Lynn
|
|
/s/ Thomas N. Thompson
|
Dr. Louis B. Lynn
|
|
Thomas N. Thompson
|
Director
|
|
Director
|
|
|
|
/s/ Daryl N. Bible
|
|
/s/ Cynthia B. Powell
|
Daryl N. Bible
|
|
Cynthia B. Powell
|
Senior Executive Vice President and
|
|
Executive Vice President and
|
Chief Financial Officer
|
|
Corporate Controller
|
(Principal Financial Officer)
|
|
(Principal Accounting Officer)
|
Exhibit 12
|
|
||||||||||||||||||
Earnings To Fixed Charges
|
|||||||||||||||||||
BB&T Corporation
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Year Ended December 31,
|
||||||||||||||||||
(Dollars in millions)
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Earnings:
|
|
|
|
|
|
|
|
|
|
||||||||||
Income before income taxes
|
$
|
3,326
|
|
|
$
|
3,500
|
|
|
$
|
2,917
|
|
|
$
|
3,127
|
|
|
$
|
3,283
|
|
Plus:
|
|
|
|
|
|
|
|
|
|
||||||||||
Fixed charges
|
921
|
|
|
843
|
|
|
819
|
|
|
843
|
|
|
967
|
|
|||||
Distributions from equity method investees
|
3
|
|
|
5
|
|
|
8
|
|
|
9
|
|
|
9
|
|
|||||
Less:
|
|
|
|
|
|
|
|
|
|
||||||||||
Capitalized interest
|
2
|
|
|
3
|
|
|
2
|
|
|
1
|
|
|
—
|
|
|||||
Income (loss) from equity method investees
|
(11
|
)
|
|
(9
|
)
|
|
(3
|
)
|
|
—
|
|
|
9
|
|
|||||
Earnings
|
4,259
|
|
|
4,354
|
|
|
3,745
|
|
|
3,978
|
|
|
4,250
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Less:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest on deposits
|
344
|
|
|
251
|
|
|
233
|
|
|
239
|
|
|
301
|
|
|||||
Earnings, excluding interest on deposits
|
$
|
3,915
|
|
|
$
|
4,103
|
|
|
$
|
3,512
|
|
|
$
|
3,739
|
|
|
$
|
3,949
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Fixed charges:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest expense
|
$
|
839
|
|
|
$
|
745
|
|
|
$
|
735
|
|
|
$
|
768
|
|
|
$
|
891
|
|
Capitalized interest
|
2
|
|
|
3
|
|
|
2
|
|
|
1
|
|
|
—
|
|
|||||
Interest portion of rent expense
|
80
|
|
|
95
|
|
|
82
|
|
|
74
|
|
|
76
|
|
|||||
Total fixed charges
|
921
|
|
|
843
|
|
|
819
|
|
|
843
|
|
|
967
|
|
|||||
Less:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest on deposits
|
344
|
|
|
251
|
|
|
233
|
|
|
239
|
|
|
301
|
|
|||||
Total fixed charges, excluding interest on deposits
|
577
|
|
|
592
|
|
|
586
|
|
|
604
|
|
|
666
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Dividends/accretion on preferred stock (1)
|
240
|
|
|
239
|
|
|
203
|
|
|
210
|
|
|
222
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Total fixed charges and preferred dividends
|
$
|
1,161
|
|
|
$
|
1,082
|
|
|
$
|
1,022
|
|
|
$
|
1,053
|
|
|
$
|
1,189
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total fixed charges and preferred dividends, excluding interest on deposits
|
$
|
817
|
|
|
$
|
831
|
|
|
$
|
789
|
|
|
$
|
814
|
|
|
$
|
888
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings to fixed charges:
|
|
|
|
|
|
|
|
|
|
||||||||||
Including interest on deposits
|
4.62x
|
|
|
5.16x
|
|
|
4.57x
|
|
|
4.72x
|
|
|
4.40x
|
|
|||||
Excluding interest on deposits
|
6.79x
|
|
|
6.93x
|
|
|
5.99x
|
|
|
6.19x
|
|
|
5.93x
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings to fixed charges and preferred dividends:
|
|
|
|
|
|
|
|
|
|
||||||||||
Including interest on deposits
|
3.67x
|
|
|
4.02x
|
|
|
3.66x
|
|
|
3.78x
|
|
|
3.57x
|
|
|||||
Excluding interest on deposits
|
4.79x
|
|
|
4.94x
|
|
|
4.45x
|
|
|
4.59x
|
|
|
4.45x
|
|
(1)
|
Dividends on preferred stock have been grossed up by the effective tax rate for the period.
|
Subsidiary
|
|
State or Jurisdiction
of Organization
|
||||||
Branch Banking and Trust Company
|
|
North Carolina
|
||||||
|
Atlas SPE, LLC
|
|
North Carolina
|
|||||
|
|
Atlas NC I SPE, LLC
|
|
North Carolina
|
||||
|
|
Atlas Tri-State SPE, LLC
|
|
North Carolina
|
||||
|
BB&T Capital Partners II, L.L.C.
|
|
Delaware
|
|||||
|
BB&T Capital Partners Mezzanine Fund II, LP
|
|
Delaware
|
|||||
|
BB&T Capital Partners, L.L.C.
|
|
Delaware
|
|||||
|
BB&T Capital Partners/Windsor Mezzanine Fund, LLC
|
|
Delaware
|
|||||
|
BB&T Collateral Service Corporation
|
|
North Carolina
|
|||||
|
BB&T Collateral Service Corporation (TN)
|
|
Tennessee
|
|||||
|
BB&T Collateral Service Corporation (WV)
|
|
West Virginia
|
|||||
|
BB&T Commercial Equipment Capital Corp.
|
|
Pennsylvania
|
|||||
|
BB&T Community Holdings Co.
|
|
Nevada
|
|||||
|
BB&T Credit Services, Inc.
|
|
Virginia
|
|||||
|
BB&T EFC Energy, LLC
|
|
North Carolina
|
|||||
|
BB&T Equipment Finance Corporation
|
|
North Carolina
|
|||||
|
BB&T Institutional Investment Advisers, Inc.
|
|
South Carolina
|
|||||
|
BB&T Insurance Holdings, Inc.
|
|
Delaware
|
|||||
|
|
BB&T Insurance Services, Inc.
|
|
North Carolina
|
||||
|
|
|
AmRisc, LLC
|
|
Delaware
|
|||
|
|
|
BB&T Insurance Services of California, Inc.
|
|
California
|
|||
|
|
|
|
F.B.P. Insurance Services, LLC
|
|
California
|
||
|
|
|
|
Precept Advisory Group LLC
|
|
California
|
||
|
|
|
Independent Trustees, Inc.
|
|
Virginia
|
|||
|
|
|
Title Insurance Services of Alabama, LLC
|
|
Alabama
|
|||
|
|
CRC Insurance Services, Inc.
|
|
Alabama
|
||||
|
|
|
Association of Independent Drivers of America, LLC
|
|
Florida
|
|||
|
|
|
Cooper Gay Re, Ltd.
|
|
New York
|
|||
|
|
|
Five Star Agents, Inc. Purchasing Group
|
|
Illinois
|
|||
|
|
|
Hanleigh Management Inc.
|
|
New Jersey
|
|||
|
|
|
J. H. Blades & Co., Inc.
|
|
Texas
|
|||
|
|
|
|
J. H. Blades & Co. (Agency), Inc.
|
|
Texas
|
||
|
|
|
Real Property Inc., A Risk Purchasing Group
|
|
New York
|
|||
|
|
Crump Life Insurance Services, Inc.
|
|
Pennsylvania
|
||||
|
|
|
P.J. Robb Variable Corp.
|
|
Tennessee
|
|||
|
|
|
Ramkade Insurance Services, Inc.
|
|
California
|
|||
|
|
|
RiskRighter, LLC
|
|
Delaware
|
|||
|
|
|
Tellus Brokerage Connections, Inc.
|
|
Delaware
|
|||
|
|
McGriff, Seibels & Williams, Inc.
|
|
Alabama
|
||||
|
|
|
M & M Aviation, L.L.C.
|
|
Alabama
|
Subsidiary
|
|
State or Jurisdiction
of Organization
|
||||||
|
|
|
McGriff, Seibels & Williams de Mexico, Intermediario de Reaseguro, S.A. de C.V.
|
|
Mexico
|
|||
|
BB&T Investment Services, Inc.
|
|
North Carolina
|
|||||
|
BB&T Leadership Institute, Inc., The
|
|
North Carolina
|
|||||
|
BB&T Merchant Services LLC
|
|
North Carolina
|
|||||
|
BB&T Mortgage Reinsurance Company
|
|
Vermont
|
|||||
|
BB&T-VA Collateral Service Corporation
|
|
Virginia
|
|||||
|
Eagle SPE Multi I, Inc.
|
|
North Carolina
|
|||||
|
Eagle SPE NV I, Inc.
|
|
North Carolina
|
|||||
|
Eagle SPE NV II, Inc.
|
|
North Carolina
|
|||||
|
Five Points Mezzanine Fund III, L.P.
|
|
Delaware
|
|||||
|
Fountainhead SPE, Inc.
|
|
North Carolina
|
|||||
|
Grandbridge Real Estate Capital LLC
|
|
North Carolina
|
|||||
|
|
BB&T Real Estate Funding LLC
|
|
North Carolina
|
||||
|
|
Grandbridge Investment Sales, Inc.
|
|
North Carolina
|
||||
|
Lititz Properties, LLC
|
|
Pennsylvania
|
|||||
|
National Penn Capital Advisors, Inc.
|
|
Pennsylvania
|
|||||
|
Prime Rate Premium Finance Corporation, Inc.
|
|
South Carolina
|
|||||
|
|
AFCO Credit Corporation
|
|
New York
|
||||
|
|
|
AFCO Acceptance Corporation
|
|
California
|
|||
|
|
CAFO US Holdings, Inc.
|
|
North Carolina
|
||||
|
|
|
CAFO Holdings Company
|
|
Nova Scotia
|
|||
|
|
|
|
CAFO Inc.
|
|
Canada
|
||
|
|
Prime Rate Premium Finance of California, Inc.
|
|
California
|
||||
|
Susquehanna Corporation
|
|
Pennsylvania
|
|||||
|
Susquehanna Mortgage Corporation
|
|
Maryland
|
|||||
|
Teragon Financial Corporation
|
|
Pennsylvania
|
|||||
|
Turks Head Properties, Inc.
|
|
Pennsylvania
|
|||||
BB&T Assurance Company, Ltd.
|
|
Bermuda
|
||||||
BB&T Securities, LLC
|
|
Delaware
|
||||||
Boston Service Company, Inc. (t/a Hann Financial Service Corp.)
|
|
New Jersey
|
||||||
|
SALE NYC, LLC
|
|
Delaware
|
|||||
Regional Acceptance Corporation
|
|
North Carolina
|
||||||
|
Regional Fidelity Reinsurance, Ltd.
|
|
Turks & Caicos Islands
|
|||||
Sterling Capital Management LLC
|
|
North Carolina
|
||||||
|
Sterling Capital (Cayman) Limited
|
|
Cayman Islands
|
|
Form S-3 Nos.
|
|
Form S-4 Nos.
|
|
Form S-8 Nos.
|
|
|
33-57861
|
|
333-153747
|
|
33-57867
|
|
|
333-27755
|
|
333-199168
|
|
333-50035
|
|
|
333-35879
|
|
333-200959
|
|
333-69823
|
|
|
333-176815
|
|
|
|
333-81471
|
|
|
333-197586
|
|
|
|
333-36538
|
|
|
333-219092
|
|
|
|
333-104934
|
|
|
333-219379
|
|
|
|
333-116488
|
|
|
|
|
|
|
333-118152
|
|
|
|
|
|
|
333-118153
|
|
|
|
|
|
|
333-118154
|
|
|
|
|
|
|
333-147923
|
|
|
|
|
|
|
333-147924
|
|
|
|
|
|
|
333-158895
|
|
|
|
|
|
|
333-158896
|
|
|
|
|
|
|
333-181692
|
|
|
|
|
|
|
333-197042
|
|
|
|
|
|
|
333-207147
|
|
|
|
|
|
|
333-218234
|
|
1.
|
I have reviewed this
Annual
Report on Form
10-K
of BB&T 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.
|
/s/ Kelly S. King
|
Kelly S. King
|
Chairman and Chief Executive Officer
|
1.
|
I have reviewed this
Annual
Report on Form
10-K
of BB&T 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.
|
/s/ Daryl N. Bible
|
Daryl N. Bible
|
Senior Executive Vice President and
|
Chief Financial Officer
|
1.
|
The
Annual
Report on Form
10-K
for the fiscal period ended
December 31, 2017
(the “Form
10-K
”) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
2.
|
The information contained in the Form
10-K
fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
/s/ Kelly S. King
|
Kelly S. King
|
Chairman and Chief Executive Officer
|
|
/s/ Daryl N. Bible
|
Daryl N. Bible
|
Senior Executive Vice President and
|
Chief Financial Officer
|