☒
|
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Pennsylvania | 25-1435979 | |||||||||||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
Title of Each Class |
Trading Symbol(s)
|
Name of Each Exchange
on Which Registered
|
||||||
Common Stock, par value $5.00 | PNC | New York Stock Exchange | ||||||
Depositary Shares Each Representing a 1/4,000 Interest in a Share of Fixed-to-
Floating Rate Non-Cumulative Perpetual Preferred Stock, Series P |
PNC P | New York Stock Exchange |
Large accelerated filer | ☒ | Accelerated filer | ☐ | Emerging growth company | ☐ | |||||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ☐ |
Page | ||||||||
PART I | ||||||||
Item 1 | ||||||||
Item 1A | ||||||||
Item 1B | ||||||||
Item 2 | ||||||||
Item 3 | ||||||||
Item 4 | ||||||||
PART II | ||||||||
Item 5 | ||||||||
Item 6 | ||||||||
Item 7 | ||||||||
Item 7A | ||||||||
Item 8 | ||||||||
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Item 8 | Financial Statements and Supplementary Data. (continued) | |||||||
Item 9 | ||||||||
Item 9A | ||||||||
Item 9B | ||||||||
PART III | ||||||||
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PART IV | ||||||||
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Form 10-K page | ||||
Average Consolidated Balance Sheet And Net Interest Analysis
|
189 | ||||
Analysis Of Year-To-Year Changes In Net Interest Income | 190 | ||||
Book Values Of Securities | 50 and 118-121 | ||||
Maturities And Weighted-Average Yield Of Securities | 50 and 121 | ||||
Loan Types | 49, 64, 123-124 and 191 | ||||
Selected Loan Maturities And Interest Sensitivity
|
192 | ||||
Nonaccrual, Past Due And Restructured Loans And Other Nonperforming Assets | 64-76, 104-111, 122-132 and 191 | ||||
Potential Problem Loans | 64-76 and 126 | ||||
Summary Of Loan Loss Experience | 73-76, 131-132 and 193 | ||||
Allocation Of Allowance For Loan And Lease Losses | 73-76 and 193 | ||||
Average Amount And Average Rate Paid On Deposits | 189 | ||||
Time Deposits Of $100,000 Or More | 194 | ||||
Selected Consolidated Financial Data | 39-41 | ||||
Short-term Borrowings – not included as average balances during 2020, 2019 and 2018 were less than 30% of total shareholders’ equity at the end of each period. |
Name | Age | Position with PNC | Year Employed (a) | ||||||||
Carole L. Brown | 56 | Executive Vice President and Head of Asset Management Group | 2019 | ||||||||
Richard K. Bynum | 50 | Executive Vice President and Chief Corporate Responsibility Officer | 2005 | ||||||||
William S. Demchak | 58 | Chairman, President and Chief Executive Officer (b) | 2002 | ||||||||
Kieran J. Fallon | 54 | Executive Vice President and Chief Risk Officer | 2011 | ||||||||
Deborah Guild | 52 | Executive Vice President and Head of Enterprise Technology | 2013 | ||||||||
Michael J. Hannon | 64 | Executive Vice President and Chief Credit Officer | 1982 | ||||||||
Vicki C. Henn | 52 | Executive Vice President and Chief Human Resources Officer | 1994 | ||||||||
Gregory B. Jordan | 61 | Executive Vice President, General Counsel, Chief Administrative Officer and Head of Regulatory and Government Affairs | 2013 | ||||||||
Stacy M. Juchno | 45 | Executive Vice President and General Auditor | 2009 | ||||||||
Ganesh Krishnan | 45 | Executive Vice President and Enterprise Chief Information Officer | 2008 | ||||||||
Karen L. Larrimer | 58 | Executive Vice President, Chief Customer Officer and Head of Retail Banking | 1995 | ||||||||
Michael P. Lyons | 50 | Executive Vice President and Head of Corporate & Institutional Banking | 2011 | ||||||||
E William Parsley, III | 55 | Executive Vice President and Chief Operating Officer | 2003 | ||||||||
Robert Q. Reilly | 56 | Executive Vice President and Chief Financial Officer | 1987 | ||||||||
Gregory H. Kozich | 57 | Senior Vice President and Controller | 2010 |
In thousands, except per share data
|
||||||||||||||
2020 period | Total shares purchased (a) | Average price paid per share | Total shares purchased as part of publicly announced programs (b) | Maximum number of shares that may yet be purchased under the programs (b) | ||||||||||
October 1 – 31 | 9 | $ | 111.63 | 75,109 | ||||||||||
November 1 – 30 | 75,109 | |||||||||||||
December 1 – 31 | 75,109 | |||||||||||||
Total | 9 | $ | 111.63 |
Base Period |
Assumes $100 investment at Close of Market on December 31, 2015
Total Return = Price change plus reinvestment of dividends |
5-Year Compound Growth Rate | |||||||||||||||||||||
Dec. 2015 | Dec. 2016 | Dec. 2017 | Dec. 2018 | Dec. 2019 | Dec. 2020 | ||||||||||||||||||
PNC | $ | 100 | $ | 125.78 | $ | 158.43 | $ | 131.53 | $ | 185.32 | $ | 180.26 | 12.51 | % | |||||||||
S&P 500 Index | $ | 100 | $ | 111.95 | $ | 136.38 | $ | 130.39 | $ | 171.44 | $ | 202.96 | 15.21 | % | |||||||||
S&P 500 Banks | $ | 100 | $ | 124.31 | $ | 152.34 | $ | 127.30 | $ | 179.03 | $ | 154.41 | 9.08 | % | |||||||||
Peer Group | $ | 100 | $ | 132.72 | $ | 158.48 | $ | 125.50 | $ | 170.99 | $ | 154.90 | 9.15 | % |
Year ended December 31 | ||||||||||||||||||||||||||||||||
Dollars in millions, except per share data | 2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||
Summary of Operations | ||||||||||||||||||||||||||||||||
Interest income | $ | 11,307 | $ | 13,762 | $ | 12,582 | $ | 10,814 | $ | 9,652 | ||||||||||||||||||||||
Interest expense | 1,361 | 3,797 | 2,861 | 1,706 | 1,261 | |||||||||||||||||||||||||||
Net interest income | 9,946 | 9,965 | 9,721 | 9,108 | 8,391 | |||||||||||||||||||||||||||
Noninterest income | 6,955 | 6,874 | 6,469 | 6,144 | 6,089 | |||||||||||||||||||||||||||
Total revenue | 16,901 | 16,839 | 16,190 | 15,252 | 14,480 | |||||||||||||||||||||||||||
Provision for credit losses | 3,175 | 773 | 408 | 441 | 433 | |||||||||||||||||||||||||||
Noninterest expense | 10,297 | 10,574 | 10,296 | 10,398 | 9,476 | |||||||||||||||||||||||||||
Income from continuing operations before income taxes and noncontrolling interests | 3,429 | 5,492 | 5,486 | 4,413 | 4,571 | |||||||||||||||||||||||||||
Income taxes from continuing operations | 426 | 901 | 928 | (185) | 1,115 | |||||||||||||||||||||||||||
Net income from continuing operations | 3,003 | 4,591 | 4,558 | 4,598 | 3,456 | |||||||||||||||||||||||||||
Income from discontinued operations before taxes | 5,777 | 988 | 942 | 1,077 | 682 | |||||||||||||||||||||||||||
Income taxes from discontinued operations | 1,222 | 161 | 154 | 287 | 153 | |||||||||||||||||||||||||||
Net income from discontinued operations | 4,555 | 827 | 788 | 790 | 529 | |||||||||||||||||||||||||||
Net income | 7,558 | 5,418 | 5,346 | 5,388 | 3,985 | |||||||||||||||||||||||||||
Less: Net income attributable to noncontrolling interests | 41 | 49 | 45 | 50 | 82 | |||||||||||||||||||||||||||
Preferred stock dividends | 229 | 236 | 236 | 236 | 209 | |||||||||||||||||||||||||||
Preferred stock discount accretion and redemptions | 4 | 4 | 4 | 26 | 6 | |||||||||||||||||||||||||||
Net income attributable to common shareholders | $ | 7,284 | $ | 5,129 | $ | 5,061 | $ | 5,076 | $ | 3,688 | ||||||||||||||||||||||
Per Common Share | ||||||||||||||||||||||||||||||||
Basic earnings from continuing operations | $ | 6.37 | $ | 9.59 | $ | 9.11 | $ | 8.87 | $ | 6.35 | ||||||||||||||||||||||
Basic earnings from discontinued operations | $ | 10.62 | $ | 1.84 | $ | 1.68 | $ | 1.62 | $ | 1.07 | ||||||||||||||||||||||
Total basic earnings | $ | 16.99 | $ | 11.43 | $ | 10.79 | $ | 10.49 | $ | 7.42 | ||||||||||||||||||||||
Diluted earnings from continuing operations | $ | 6.36 | $ | 9.57 | $ | 9.06 | $ | 8.79 | $ | 6.27 | ||||||||||||||||||||||
Diluted earnings from discontinued operations | $ | 10.60 | $ | 1.82 | $ | 1.65 | $ | 1.57 | $ | 1.03 | ||||||||||||||||||||||
Total diluted earnings | $ | 16.96 | $ | 11.39 | $ | 10.71 | $ | 10.36 | $ | 7.30 | ||||||||||||||||||||||
Book value | $ | 119.11 | $ | 104.59 | $ | 95.72 | $ | 91.94 | $ | 85.94 | ||||||||||||||||||||||
Cash dividends declared | $ | 4.60 | $ | 4.20 | $ | 3.40 | $ | 2.60 | $ | 2.12 | ||||||||||||||||||||||
Effective tax rate from continuing operations (a)
|
12.4 | % | 16.4 | % | 16.9 | % | (4.2) | % | 24.4 | % | ||||||||||||||||||||||
Performance Ratios from Continuing Operations | ||||||||||||||||||||||||||||||||
Net interest margin (b) | 2.53 | % | 2.89 | % | 2.97 | % | 2.87 | % | 2.73 | % | ||||||||||||||||||||||
Noninterest income to total revenue | 41 | % | 41 | % | 40 | % | 40 | % | 42 | % | ||||||||||||||||||||||
Efficiency | 61 | % | 63 | % | 64 | % | 68 | % | 65 | % | ||||||||||||||||||||||
Return on: | ||||||||||||||||||||||||||||||||
Average common shareholders’ equity | 15.21 | % | 11.50 | % | 11.83 | % | 12.09 | % | 8.85 | % | ||||||||||||||||||||||
Average assets | 1.68 | % | 1.35 | % | 1.41 | % | 1.45 | % | 1.10 | % |
Year ended December 31 | ||||||||||||||||||||||||||||||||
Dollars in millions, except as noted | 2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||
Balance Sheet Highlights | ||||||||||||||||||||||||||||||||
Assets | $ | 466,679 | $ | 410,295 | $ | 382,315 | $ | 380,768 | $ | 366,380 | ||||||||||||||||||||||
Loans | $ | 241,928 | $ | 239,843 | $ | 226,245 | $ | 220,458 | $ | 210,833 | ||||||||||||||||||||||
Allowance for loan and lease losses (a) | $ | 5,361 | $ | 2,742 | $ | 2,629 | $ | 2,611 | $ | 2,589 | ||||||||||||||||||||||
Interest-earning deposits with banks (b) | $ | 85,173 | $ | 23,413 | $ | 10,893 | $ | 28,595 | $ | 25,711 | ||||||||||||||||||||||
Investment securities | $ | 88,799 | $ | 86,824 | $ | 82,701 | $ | 76,131 | $ | 75,947 | ||||||||||||||||||||||
Loans held for sale | $ | 1,597 | $ | 1,083 | $ | 994 | $ | 2,655 | $ | 2,504 | ||||||||||||||||||||||
Equity investments | $ | 6,052 | $ | 5,176 | $ | 4,878 | $ | 3,816 | $ | 3,842 | ||||||||||||||||||||||
Asset held for sale (c) | $ | 8,558 | $ | 8,016 | $ | 7,576 | $ | 6,886 | ||||||||||||||||||||||||
Mortgage servicing rights | $ | 1,242 | $ | 1,644 | $ | 1,983 | $ | 1,832 | $ | 1,758 | ||||||||||||||||||||||
Goodwill | $ | 9,233 | $ | 9,233 | $ | 9,218 | $ | 9,173 | $ | 9,103 | ||||||||||||||||||||||
Other assets | $ | 30,999 | $ | 32,202 | $ | 34,408 | $ | 27,894 | $ | 27,506 | ||||||||||||||||||||||
Noninterest-bearing deposits | $ | 112,637 | $ | 72,779 | $ | 73,960 | $ | 79,864 | $ | 80,230 | ||||||||||||||||||||||
Interest-bearing deposits | $ | 252,708 | $ | 215,761 | $ | 193,879 | $ | 185,189 | $ | 176,934 | ||||||||||||||||||||||
Total deposits | $ | 365,345 | $ | 288,540 | $ | 267,839 | $ | 265,053 | $ | 257,164 | ||||||||||||||||||||||
Borrowed funds (d) | $ | 37,195 | $ | 60,263 | $ | 57,419 | $ | 59,088 | $ | 52,706 | ||||||||||||||||||||||
Allowance for unfunded lending related commitments (a) | $ | 584 | $ | 318 | $ | 285 | $ | 297 | $ | 301 | ||||||||||||||||||||||
Total shareholders’ equity | $ | 54,010 | $ | 49,314 | $ | 47,728 | $ | 47,513 | $ | 45,699 | ||||||||||||||||||||||
Common shareholders’ equity | $ | 50,493 | $ | 45,321 | $ | 43,742 | $ | 43,530 | $ | 41,723 | ||||||||||||||||||||||
Accumulated other comprehensive income (loss) | $ | 2,770 | $ | 799 | $ | (725) | $ | (148) | $ | (265) | ||||||||||||||||||||||
Period-end common shares outstanding (millions) | 424 | 433 | 457 | 473 | 485 | |||||||||||||||||||||||||||
Loans to deposits | 66 | % | 83 | % | 84 | % | 83 | % | 82 | % | ||||||||||||||||||||||
Client Assets (billions)
|
||||||||||||||||||||||||||||||||
Discretionary client assets under management | $ | 170 | $ | 154 | $ | 148 | $ | 151 | $ | 137 | ||||||||||||||||||||||
Nondiscretionary client assets under administration | 154 | 143 | 124 | 131 | 120 | |||||||||||||||||||||||||||
Total client assets under administration | 324 | 297 | 272 | 282 | 257 | |||||||||||||||||||||||||||
Brokerage account client assets | 59 | 54 | 47 | 49 | 44 | |||||||||||||||||||||||||||
Total | $ | 383 | $ | 351 | $ | 319 | $ | 331 | $ | 301 | ||||||||||||||||||||||
Capital Ratios (e) (f) | ||||||||||||||||||||||||||||||||
Basel III | ||||||||||||||||||||||||||||||||
Common equity Tier 1 | 12.2 | % | 9.5 | % | 9.6 | % | 9.8 | % | 10.0 | % | ||||||||||||||||||||||
Common equity Tier 1 fully implemented (g) | 11.8 | % | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||||
Tier 1 risk-based | 13.2 | % | 10.7 | % | 10.8 | % | N/A | N/A | ||||||||||||||||||||||||
Total capital risk-based (h) | 15.6 | % | 12.7 | % | 13.0 | % | N/A | N/A | ||||||||||||||||||||||||
Leverage | 9.5 | % | 9.1 | % | 9.4 | % | 9.6 | % | 9.8 | % | ||||||||||||||||||||||
Supplementary leverage | 9.9 | % | 7.6 | % | 7.8 | % | 8.0 | % | 8.3 | % | ||||||||||||||||||||||
Other Selected Ratios | ||||||||||||||||||||||||||||||||
Dividend payout | 27.2 | % | 36.7 | % | 31.5 | % | 24.7 | % | 29.0 | % | ||||||||||||||||||||||
Common shareholders’ equity to total assets | 10.8 | % | 11.0 | % | 11.4 | % | 11.4 | % | 11.4 | % | ||||||||||||||||||||||
Average common shareholders’ equity to average assets | 10.7 | % | 11.1 | % | 11.3 | % | 11.3 | % | 11.5 | % | ||||||||||||||||||||||
Selected Statistics | ||||||||||||||||||||||||||||||||
Employees | 51,257 | 51,918 | 53,063 | 52,906 | 52,006 | |||||||||||||||||||||||||||
Retail Banking branches | 2,162 | 2,296 | 2,372 | 2,459 | 2,520 | |||||||||||||||||||||||||||
ATMs | 8,900 | 9,091 | 9,162 | 9,051 | 9,024 |
2020 | 2019 | ||||||||||||||||||||||
Year ended December 31
Dollars in millions |
Average
Balances |
Average
Yields/ Rates |
Interest
Income/ Expense |
Average
Balances |
Average
Yields/ Rates |
Interest
Income/ Expense |
|||||||||||||||||
Assets | |||||||||||||||||||||||
Interest-earning assets | |||||||||||||||||||||||
Investment securities | $ | 87,279 | 2.36 | % | $ | 2,064 | $ | 83,666 | 2.93 | % | $ | 2,450 | |||||||||||
Loans | 252,633 | 3.55 | % | 8,979 | 235,016 | 4.51 | % | 10,604 | |||||||||||||||
Interest-earning deposits with banks | 47,333 | 0.21 | % | 100 | 16,878 | 2.09 | % | 353 | |||||||||||||||
Other | 9,553 | 2.50 | % | 239 | 12,425 | 3.69 | % | 458 | |||||||||||||||
Total interest-earning assets/interest income | $ | 396,798 | 2.87 | % | 11,382 | $ | 347,985 | 3.98 | % | 13,865 | |||||||||||||
Liabilities | |||||||||||||||||||||||
Interest-bearing liabilities | |||||||||||||||||||||||
Interest-bearing deposits | $ | 238,771 | 0.27 | % | 643 | $ | 204,588 | 0.97 | % | 1,986 | |||||||||||||
Borrowed funds | 47,938 | 1.50 | % | 718 | 61,528 | 2.94 | % | 1,811 | |||||||||||||||
Total interest-bearing liabilities/interest expense | $ | 286,709 | 0.47 | % | 1,361 | $ | 266,116 | 1.43 | % | 3,797 | |||||||||||||
Net interest margin/income (Non-GAAP) | 2.53 | % | 10,021 | 2.89 | % | 10,068 | |||||||||||||||||
Taxable-equivalent adjustments | (75) | (103) | |||||||||||||||||||||
Net interest income (GAAP) | $ | 9,946 | $ | 9,965 |
Year ended December 31 | Change | |||||||||||||
Dollars in millions | 2020 | 2019 | $ | % | ||||||||||
Noninterest income | ||||||||||||||
Asset management | $ | 836 | $ | 862 | $ | (26) | (3) | % | ||||||
Consumer services | 1,484 | 1,555 | (71) | (5) | % | |||||||||
Corporate services | 2,167 | 1,914 | 253 | 13 | % | |||||||||
Residential mortgage | 604 | 368 | 236 | 64 | % | |||||||||
Service charges on deposits | 500 | 702 | (202) | (29) | % | |||||||||
Other | 1,364 | 1,473 | (109) | (7) | % | |||||||||
Total noninterest income | $ | 6,955 | $ | 6,874 | $ | 81 | 1 | % |
Year ended December 31 | Change | |||||||||||||
Dollars in millions | 2020 | 2019 | $ | % | ||||||||||
Noninterest expense | ||||||||||||||
Personnel | $ | 5,673 | $ | 5,647 | $ | 26 | — | |||||||
Occupancy | 826 | 834 | (8) | (1) | % | |||||||||
Equipment | 1,176 | 1,210 | (34) | (3) | % | |||||||||
Marketing | 236 | 301 | (65) | (22) | % | |||||||||
Other | 2,386 | 2,582 | (196) | (8) | % | |||||||||
Total noninterest expense | $ | 10,297 | $ | 10,574 | $ | (277) | (3) | % |
Year ended December 31 | ||||||||
Dollars in millions | 2020 | 2019 | ||||||
Provision for credit losses | ||||||||
Loans and leases | $ | 2,985 | $ | 773 | ||||
Unfunded lending related commitments (a) | 87 | |||||||
Investment securities | 80 | |||||||
Other financial assets | 23 | |||||||
Total provision for credit losses | $ | 3,175 | $ | 773 |
Year ended December 31 | ||||||||
Dollars in millions | 2020 | 2019 | ||||||
Net income from discontinued operations | $ | 4,555 | $ | 827 |
December 31 | December 31 | Change | |||||||||||||||||||||
Dollars in millions | 2020 | 2019 | $ | % | |||||||||||||||||||
Assets | |||||||||||||||||||||||
Interest-earning deposits with banks | $ | 85,173 | $ | 23,413 | $ | 61,760 | 264 | % | |||||||||||||||
Loans held for sale | 1,597 | 1,083 | 514 | 47 | % | ||||||||||||||||||
Asset held for sale (a) | 8,558 | (8,558) | (100) | % | |||||||||||||||||||
Investment securities | 88,799 | 86,824 | 1,975 | 2 | % | ||||||||||||||||||
Loans | 241,928 | 239,843 | 2,085 | 1 | % | ||||||||||||||||||
Allowance for loan and lease losses (b) | (5,361) | (2,742) | (2,619) | (96) | % | ||||||||||||||||||
Mortgage servicing rights | 1,242 | 1,644 | (402) | (24) | % | ||||||||||||||||||
Goodwill | 9,233 | 9,233 | |||||||||||||||||||||
Other, net | 44,068 | 42,439 | 1,629 | 4 | % | ||||||||||||||||||
Total assets | $ | 466,679 | $ | 410,295 | $ | 56,384 | 14 | % | |||||||||||||||
Liabilities | |||||||||||||||||||||||
Deposits | $ | 365,345 | $ | 288,540 | $ | 76,805 | 27 | % | |||||||||||||||
Borrowed funds | 37,195 | 60,263 | (23,068) | (38) | % | ||||||||||||||||||
Allowance for unfunded lending related commitments (b) | 584 | 318 | 266 | 84 | % | ||||||||||||||||||
Other | 9,514 | 11,831 | (2,317) | (20) | % | ||||||||||||||||||
Total liabilities | 412,638 | 360,952 | 51,686 | 14 | % | ||||||||||||||||||
Equity | |||||||||||||||||||||||
Total shareholders’ equity | 54,010 | 49,314 | 4,696 | 10 | % | ||||||||||||||||||
Noncontrolling interests | 31 | 29 | 2 | 7 | % | ||||||||||||||||||
Total equity | 54,041 | 49,343 | 4,698 | 10 | % | ||||||||||||||||||
Total liabilities and equity | $ | 466,679 | $ | 410,295 | $ | 56,384 | 14 | % |
December 31 | December 31 | Change | |||||||||||||||||||||
Dollars in millions | 2020 | 2019 | $ | % | |||||||||||||||||||
Commercial | |||||||||||||||||||||||
Commercial and industrial | $ | 132,073 | $ | 125,337 | $ | 6,736 | 5 | % | |||||||||||||||
Commercial real estate | 28,716 | 28,110 | 606 | 2 | % | ||||||||||||||||||
Equipment lease financing | 6,414 | 7,155 | (741) | (10) | % | ||||||||||||||||||
Total commercial | 167,203 | 160,602 | 6,601 | 4 | % | ||||||||||||||||||
Consumer | |||||||||||||||||||||||
Home equity | 24,088 | 25,085 | (997) | (4) | % | ||||||||||||||||||
Residential real estate | 22,560 | 21,821 | 739 | 3 | % | ||||||||||||||||||
Automobile | 14,218 | 16,754 | (2,536) | (15) | % | ||||||||||||||||||
Credit card | 6,215 | 7,308 | (1,093) | (15) | % | ||||||||||||||||||
Education | 2,946 | 3,336 | (390) | (12) | % | ||||||||||||||||||
Other consumer | 4,698 | 4,937 | (239) | (5) | % | ||||||||||||||||||
Total consumer | 74,725 | 79,241 | (4,516) | (6) | % | ||||||||||||||||||
Total loans | $ | 241,928 | $ | 239,843 | $ | 2,085 | 1 | % |
December 31, 2020 | December 31, 2019 |
Ratings (a)
As of December 31, 2020 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dollars in millions |
Amortized
Cost (b) |
Fair
Value |
Amortized
Cost |
Fair
Value |
AAA/
AA |
A | BBB |
BB and
Lower |
No
Rating |
|||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 20,616 | $ | 21,631 | $ | 16,926 | $ | 17,348 | 100 | % | ||||||||||||||||||||||||||||||||||||||||||||||
Agency residential mortgage-backed | 47,355 | 48,911 | 50,266 | 50,984 | 100 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency residential mortgage-backed | 1,272 | 1,501 | 1,648 | 1,954 | 10 | % | 1 | % | 2 | % | 48 | % | 39 | % | ||||||||||||||||||||||||||||||||||||||||||
Agency commercial mortgage-backed | 2,571 | 2,688 | 3,153 | 3,178 | 100 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency commercial mortgage-backed (c) | 3,678 | 3,689 | 3,782 | 3,806 | 87 | % | 1 | % | 5 | % | 7 | % | ||||||||||||||||||||||||||||||||||||||||||||
Asset-backed (d) | 5,060 | 5,150 | 5,096 | 5,166 | 92 | % | 1 | % | 6 | % | 1 | % | ||||||||||||||||||||||||||||||||||||||||||||
Other debt (e) | 5,061 | 5,393 | 4,580 | 4,771 | 67 | % | 21 | % | 10 | % | 2 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total investment securities (f) | $ | 85,613 | $ | 88,963 | $ | 85,451 | $ | 87,207 | 96 | % | 1 | % | 1 | % | 1 | % | 1 | % |
December 31, 2020 | Years | ||||
Agency residential mortgage-backed | 2.9 | ||||
Non-agency residential mortgage-backed | 6.0 | ||||
Agency commercial mortgage-backed | 4.2 | ||||
Non-agency commercial mortgage-backed | 2.5 | ||||
Asset-backed | 2.4 |
December 31 | December 31 | Change | |||||||||||||||||||||
Dollars in millions | 2020 | 2019 | $ | % | |||||||||||||||||||
Deposits | |||||||||||||||||||||||
Noninterest-bearing | $ | 112,637 | $ | 72,779 | $ | 39,858 | 55 | % | |||||||||||||||
Interest-bearing | |||||||||||||||||||||||
Money market | 59,737 | 54,115 | 5,622 | 10 | % | ||||||||||||||||||
Demand | 92,294 | 71,692 | 20,602 | 29 | % | ||||||||||||||||||
Savings | 80,985 | 68,291 | 12,694 | 19 | % | ||||||||||||||||||
Time deposits | 19,692 | 21,663 | (1,971) | (9) | % | ||||||||||||||||||
Total interest-bearing deposits | 252,708 | 215,761 | 36,947 | 17 | % | ||||||||||||||||||
Total deposits | 365,345 | 288,540 | 76,805 | 27 | % | ||||||||||||||||||
Borrowed funds | |||||||||||||||||||||||
Federal Home Loan Bank borrowings | 3,500 | 16,341 | (12,841) | (79) | % | ||||||||||||||||||
Bank notes and senior debt | 24,271 | 29,010 | (4,739) | (16) | % | ||||||||||||||||||
Subordinated debt | 6,403 | 6,134 | 269 | 4 | % | ||||||||||||||||||
Other | 3,021 | 8,778 | (5,757) | (66) | % | ||||||||||||||||||
Total borrowed funds | 37,195 | 60,263 | (23,068) | (38) | % | ||||||||||||||||||
Total funding sources | $ | 402,540 | $ | 348,803 | $ | 53,737 | 15 | % |
(Unaudited) | ||||||||||||||||||||||||||
Year ended December 31 | Change | |||||||||||||||||||||||||
Dollars in millions, except as noted | 2020 | 2019 | $ | % | ||||||||||||||||||||||
Income Statement | ||||||||||||||||||||||||||
Net interest income | $ | 5,609 | $ | 5,520 | $ | 89 | 2 | % | ||||||||||||||||||
Noninterest income | 2,519 | 2,648 | (129) | (5) | % | |||||||||||||||||||||
Total revenue | 8,128 | 8,168 | (40) | — | ||||||||||||||||||||||
Provision for credit losses | 968 | 517 | 451 | 87 | % | |||||||||||||||||||||
Noninterest expense | 6,019 | 6,011 | 8 | — | ||||||||||||||||||||||
Pretax earnings | 1,141 | 1,640 | (499) | (30) | % | |||||||||||||||||||||
Income taxes | 266 | 377 | (111) | (29) | % | |||||||||||||||||||||
Noncontrolling interest | 31 | 50 | (19) | (38) | % | |||||||||||||||||||||
Earnings | $ | 844 | $ | 1,213 | $ | (369) | (30) | % | ||||||||||||||||||
Average Balance Sheet | ||||||||||||||||||||||||||
Loans held for sale | $ | 745 | $ | 627 | $ | 118 | 19 | % | ||||||||||||||||||
Loans | ||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||
Home equity | $ | 22,633 | $ | 22,657 | $ | (24) | — | |||||||||||||||||||
Residential real estate | 18,171 | 16,196 | 1,975 | 12 | % | |||||||||||||||||||||
Automobile | 15,968 | 15,510 | 458 | 3 | % | |||||||||||||||||||||
Credit card | 6,629 | 6,550 | 79 | 1 | % | |||||||||||||||||||||
Education | 3,176 | 3,611 | (435) | (12) | % | |||||||||||||||||||||
Other consumer | 2,334 | 2,244 | 90 | 4 | % | |||||||||||||||||||||
Total consumer | 68,911 | 66,768 | 2,143 | 3 | % | |||||||||||||||||||||
Commercial | 12,573 | 10,410 | 2,163 | 21 | % | |||||||||||||||||||||
Total loans | $ | 81,484 | $ | 77,178 | $ | 4,306 | 6 | % | ||||||||||||||||||
Total assets | $ | 97,643 | $ | 92,959 | $ | 4,684 | 5 | % | ||||||||||||||||||
Deposits | ||||||||||||||||||||||||||
Noninterest-bearing demand | $ | 39,754 | $ | 31,675 | $ | 8,079 | 26 | % | ||||||||||||||||||
Interest-bearing demand | 47,557 | 42,077 | 5,480 | 13 | % | |||||||||||||||||||||
Money market | 23,436 | 25,317 | (1,881) | (7) | % | |||||||||||||||||||||
Savings | 68,267 | 56,722 | 11,545 | 20 | % | |||||||||||||||||||||
Certificates of deposit | 11,222 | 12,613 | (1,391) | (11) | % | |||||||||||||||||||||
Total deposits | $ | 190,236 | $ | 168,404 | $ | 21,832 | 13 | % | ||||||||||||||||||
Performance Ratios | ||||||||||||||||||||||||||
Return on average assets | 0.86 | % | 1.30 | % | ||||||||||||||||||||||
Noninterest income to total revenue | 31 | % | 32 | % | ||||||||||||||||||||||
Efficiency | 74 | % | 74 | % |
Year ended December 31 | Change | |||||||||||||||||||||||||
Dollars in millions, except as noted | 2020 | 2019 | $ | % | ||||||||||||||||||||||
Supplemental Noninterest Income Information | ||||||||||||||||||||||||||
Consumer services | $ | 1,427 | $ | 1,530 | $ | (103) | (7) | % | ||||||||||||||||||
Residential mortgage | $ | 604 | $ | 368 | $ | 236 | 64 | % | ||||||||||||||||||
Service charges on deposits | $ | 497 | $ | 687 | $ | (190) | (28) | % | ||||||||||||||||||
Residential Mortgage Information | ||||||||||||||||||||||||||
Residential mortgage servicing statistics (in billions, except as noted) (a) | ||||||||||||||||||||||||||
Serviced portfolio balance (b) | $ | 121 | $ | 120 | $ | 1 | 1 | % | ||||||||||||||||||
Serviced portfolio acquisitions | $ | 33 | $ | 12 | $ | 21 | 175 | % | ||||||||||||||||||
MSR asset value (b) | $ | 0.7 | $ | 1.0 | $ | (0.3) | (30) | % | ||||||||||||||||||
MSR capitalization value (in basis points) (b) | 56 | 83 | (27) | (33) | % | |||||||||||||||||||||
Servicing income: (in millions) | ||||||||||||||||||||||||||
Servicing fees, net (c) | $ | 118 | $ | 178 | $ | (60) | (34) | % | ||||||||||||||||||
Mortgage servicing rights valuation, net of economic hedge | $ | 137 | $ | 47 | $ | 90 | 191 | % | ||||||||||||||||||
Residential mortgage loan statistics | ||||||||||||||||||||||||||
Loan origination volume (in billions) | $ | 15.1 | $ | 11.5 | $ | 3.6 | 31 | % | ||||||||||||||||||
Loan sale margin percentage | 3.57 | % | 2.41 | % | ||||||||||||||||||||||
Percentage of originations represented by:
|
||||||||||||||||||||||||||
Purchase volume (d) | 40 | % | 47 | % | ||||||||||||||||||||||
Refinance volume | 60 | % | 53 | % | ||||||||||||||||||||||
Other Information (b) | ||||||||||||||||||||||||||
Customer-related statistics (average) | ||||||||||||||||||||||||||
Non-teller deposit transactions (e) | 64 | % | 57 | % | ||||||||||||||||||||||
Digital consumer customers (f) | 74 | % | 69 | % | ||||||||||||||||||||||
Credit-related statistics | ||||||||||||||||||||||||||
Nonperforming assets | $ | 1,211 | $ | 1,046 | $ | 165 | 16 | % | ||||||||||||||||||
Net charge-offs - loans and leases | $ | 569 | $ | 534 | $ | 35 | 7 | % | ||||||||||||||||||
Other statistics | ||||||||||||||||||||||||||
ATMs | 8,900 | 9,091 | (191) | (2) | % | |||||||||||||||||||||
Branches (g) | 2,162 | 2,296 | (134) | (6) | % | |||||||||||||||||||||
Brokerage account client assets (in billions) (h) | $ | 59 | $ | 54 | $ | 5 | 9 | % |
(Unaudited) | ||||||||||||||||||||||||||
Year ended December 31 | Change | |||||||||||||||||||||||||
Dollars in millions, except as noted | 2020 | 2019 | $ | % | ||||||||||||||||||||||
Income Statement | ||||||||||||||||||||||||||
Net interest income | $ | 357 | $ | 288 | $ | 69 | 24 | % | ||||||||||||||||||
Noninterest income | 854 | 991 | (137) | (14) | % | |||||||||||||||||||||
Total revenue | 1,211 | 1,279 | (68) | (5) | % | |||||||||||||||||||||
Provision for (recapture of) credit losses | 21 | (1) | 22 | * | ||||||||||||||||||||||
Noninterest expense | 858 | 939 | (81) | (9) | % | |||||||||||||||||||||
Pretax earnings | 332 | 341 | (9) | (3) | % | |||||||||||||||||||||
Income taxes | 77 | 79 | (2) | (3) | % | |||||||||||||||||||||
Earnings | $ | 255 | $ | 262 | $ | (7) | (3) | % | ||||||||||||||||||
Average Balance Sheet | ||||||||||||||||||||||||||
Loans | ||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||
Residential real estate | $ | 2,832 | $ | 1,923 | $ | 909 | 47 | % | ||||||||||||||||||
Other consumer | 4,042 | 4,232 | (190) | (4) | % | |||||||||||||||||||||
Total consumer | 6,874 | 6,155 | 719 | 12 | % | |||||||||||||||||||||
Commercial | 831 | 759 | 72 | 9 | % | |||||||||||||||||||||
Total loans | $ | 7,705 | $ | 6,914 | $ | 791 | 11 | % | ||||||||||||||||||
Total assets | $ | 8,186 | $ | 7,360 | $ | 826 | 11 | % | ||||||||||||||||||
Deposits | ||||||||||||||||||||||||||
Noninterest-bearing demand | $ | 1,568 | $ | 1,360 | $ | 208 | 15 | % | ||||||||||||||||||
Interest-bearing demand | 7,777 | 4,060 | 3,717 | 92 | % | |||||||||||||||||||||
Money market | 1,613 | 1,832 | (219) | (12) | % | |||||||||||||||||||||
Savings | 7,307 | 6,216 | 1,091 | 18 | % | |||||||||||||||||||||
Other | 650 | 822 | (172) | (21) | % | |||||||||||||||||||||
Total deposits | $ | 18,915 | $ | 14,290 | $ | 4,625 | 32 | % | ||||||||||||||||||
Performance Ratios | ||||||||||||||||||||||||||
Return on average assets | 3.12 | % | 3.56 | % | ||||||||||||||||||||||
Noninterest income to total revenue | 71 | % | 77 | % | ||||||||||||||||||||||
Efficiency | 71 | % | 73 | % | ||||||||||||||||||||||
Supplemental Noninterest Income Information | ||||||||||||||||||||||||||
Asset management fees | $ | 836 | $ | 862 | $ | (26) | (3) | % | ||||||||||||||||||
Other Information | ||||||||||||||||||||||||||
Nonperforming assets (a) | $ | 66 | $ | 39 | $ | 27 | 69 | % | ||||||||||||||||||
Net charge-offs - loans and leases | $ | 1 | $ | 5 | $ | (4) | (80) | % | ||||||||||||||||||
Client Assets Under Administration (in billions) (a) (b)
|
||||||||||||||||||||||||||
Discretionary client assets under management | $ | 170 | $ | 154 | $ | 16 | 10 | % | ||||||||||||||||||
Nondiscretionary client assets under administration | 154 | 143 | 11 | 8 | % | |||||||||||||||||||||
Total | $ | 324 | $ | 297 | $ | 27 | 9 | % | ||||||||||||||||||
Discretionary client assets under management | ||||||||||||||||||||||||||
Personal | $ | 108 | $ | 99 | $ | 9 | 9 | % | ||||||||||||||||||
Institutional | 62 | 55 | 7 | 13 | % | |||||||||||||||||||||
Total | $ | 170 | $ | 154 | $ | 16 | 10 | % |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||
Dollars in millions | Amount | % of Total | Amount | % of Total | |||||||||||||||||||||||||
Commercial and industrial | |||||||||||||||||||||||||||||
Manufacturing | $ | 20,712 | 16 | % | $ | 21,540 | 17 | % | |||||||||||||||||||||
Retail/wholesale trade | 20,218 | 15 | 21,565 | 17 | |||||||||||||||||||||||||
Service providers | 19,419 | 15 | 16,112 | 13 | |||||||||||||||||||||||||
Financial services | 14,909 | 11 | 11,318 | 9 | |||||||||||||||||||||||||
Real estate related (a) | 13,369 | 10 | 12,346 | 10 | |||||||||||||||||||||||||
Health care | 8,987 | 7 | 8,035 | 6 | |||||||||||||||||||||||||
Transportation and warehousing | 7,095 | 5 | 7,474 | 6 | |||||||||||||||||||||||||
Other industries | 27,364 | 21 | 26,947 | 22 | |||||||||||||||||||||||||
Total commercial and industrial loans | $ | 132,073 | 100 | % | $ | 125,337 | 100 | % |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||
Dollars in millions | Amount | % of Total | Amount | % of Total | |||||||||||||||||||||||||
Geography (a) | |||||||||||||||||||||||||||||
California | $ | 4,458 | 16 | % | $ | 4,393 | 16 | % | |||||||||||||||||||||
Florida | 2,991 | 10 | 2,557 | 9 | |||||||||||||||||||||||||
Texas | 2,031 | 7 | 1,717 | 6 | |||||||||||||||||||||||||
Maryland | 1,770 | 6 | 1,889 | 7 | |||||||||||||||||||||||||
Virginia | 1,586 | 6 | 1,547 | 6 | |||||||||||||||||||||||||
Pennsylvania | 1,425 | 5 | 1,310 | 4 | |||||||||||||||||||||||||
Ohio | 1,247 | 4 | 1,307 | 4 | |||||||||||||||||||||||||
New Jersey | 1,117 | 4 | 1,106 | 4 | |||||||||||||||||||||||||
Illinois | 900 | 3 | 1,001 | 4 | |||||||||||||||||||||||||
Georgia | 859 | 3 | 876 | 3 | |||||||||||||||||||||||||
Other | 10,332 | 36 | 10,407 | 37 | |||||||||||||||||||||||||
Total commercial real estate loans | $ | 28,716 | 100 | % | $ | 28,110 | 100 | % | |||||||||||||||||||||
Property Type | |||||||||||||||||||||||||||||
Multifamily | $ | 9,617 | 33 | % | $ | 9,003 | 32 | % | |||||||||||||||||||||
Office | 7,691 | 27 | 7,641 | 27 | |||||||||||||||||||||||||
Retail | 3,490 | 12 | 3,702 | 13 | |||||||||||||||||||||||||
Industrial/warehouse | 1,999 | 7 | 2,003 | 7 | |||||||||||||||||||||||||
Hotel/motel | 1,954 | 7 | 1,813 | 7 | |||||||||||||||||||||||||
Seniors housing | 1,417 | 5 | 1,123 | 4 | |||||||||||||||||||||||||
Mixed use | 835 | 3 | 943 | 3 | |||||||||||||||||||||||||
Other | 1,713 | 6 | 1,882 | 7 | |||||||||||||||||||||||||
Total commercial real estate loans | $ | 28,716 | 100 | % | $ | 28,110 | 100 | % |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||
Dollars in millions | Amount | % of Total | Amount | % of Total | |||||||||||||||||||||||||
Geography (a) | |||||||||||||||||||||||||||||
Pennsylvania | $ | 5,602 | 23 | % | $ | 5,812 | 23 | % | |||||||||||||||||||||
New Jersey | 3,462 | 14 | 3,728 | 15 | |||||||||||||||||||||||||
Ohio | 2,753 | 11 | 2,899 | 12 | |||||||||||||||||||||||||
Florida | 1,536 | 6 | 1,340 | 5 | |||||||||||||||||||||||||
Illinois | 1,411 | 6 | 1,544 | 6 | |||||||||||||||||||||||||
Michigan | 1,398 | 6 | 1,371 | 5 | |||||||||||||||||||||||||
Maryland | 1,332 | 6 | 1,420 | 6 | |||||||||||||||||||||||||
North Carolina | 1,043 | 4 | 1,092 | 4 | |||||||||||||||||||||||||
Kentucky | 922 | 4 | 990 | 4 | |||||||||||||||||||||||||
Indiana | 813 | 3 | 820 | 3 | |||||||||||||||||||||||||
Other | 3,816 | 17 | 4,069 | 17 | |||||||||||||||||||||||||
Total home equity loans | $ | 24,088 | 100 | % | $ | 25,085 | 100 | % | |||||||||||||||||||||
Lien type | |||||||||||||||||||||||||||||
1st lien | 63 | % | 59 | % | |||||||||||||||||||||||||
2nd lien | 37 | 41 | |||||||||||||||||||||||||||
Total | 100 | % | 100 | % |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||
Dollars in millions | Amount | % of Total | Amount | % of Total | |||||||||||||||||||||||||
Geography (a) | |||||||||||||||||||||||||||||
California | $ | 7,828 | 35 | % | $ | 6,800 | 31 | % | |||||||||||||||||||||
New Jersey | 1,635 | 7 | 1,779 | 8 | |||||||||||||||||||||||||
Florida | 1,620 | 7 | 1,580 | 7 | |||||||||||||||||||||||||
Washington | 1,104 | 5 | 646 | 3 | |||||||||||||||||||||||||
Illinois | 1,039 | 5 | 1,118 | 5 | |||||||||||||||||||||||||
Pennsylvania | 1,036 | 5 | 1,113 | 5 | |||||||||||||||||||||||||
New York | 1,020 | 5 | 1,008 | 5 | |||||||||||||||||||||||||
Virginia | 864 | 4 | 868 | 4 | |||||||||||||||||||||||||
Maryland | 857 | 4 | 923 | 4 | |||||||||||||||||||||||||
North Carolina | 796 | 4 | 877 | 4 | |||||||||||||||||||||||||
Other | 4,761 | 19 | 5,109 | 24 | |||||||||||||||||||||||||
Total residential real estate loans
|
$ | 22,560 | 100 | % | $ | 21,821 | 100 | % |
December 31, 2020 | December 31, 2019 | |||||||
Weighted-average loan origination FICO score (a) | ||||||||
Indirect auto | 784 |
757
|
||||||
Direct auto | 768 |
769
|
||||||
Weighted-average term of loan originations - in months (a) | ||||||||
Indirect auto |
72
|
74
|
||||||
Direct auto |
62
|
63
|
December 31 2020 |
December 31
2019 |
Change | |||||||||||||||||||||||||||
Dollars in millions | $ | % | |||||||||||||||||||||||||||
Nonperforming loans | |||||||||||||||||||||||||||||
Commercial | $ | 923 | $ | 501 | $ | 422 | 84% | ||||||||||||||||||||||
Consumer (a) | 1,363 | 1,134 | 229 | 20% | |||||||||||||||||||||||||
Total nonperforming loans | 2,286 | 1,635 | 651 | 40% | |||||||||||||||||||||||||
OREO and foreclosed assets | 51 | 117 | (66) | (56)% | |||||||||||||||||||||||||
Total nonperforming assets | $ | 2,337 | $ | 1,752 | $ | 585 | 33% | ||||||||||||||||||||||
TDRs included in nonperforming loans | $ | 902 | $ | 843 | $ | 59 | 7% | ||||||||||||||||||||||
Percentage of total nonperforming loans | 39 | % | 52 | % | |||||||||||||||||||||||||
Nonperforming loans to total loans | 0.94 | % | 0.68 | % | |||||||||||||||||||||||||
Nonperforming assets to total loans, OREO and foreclosed assets | 0.97 | % | 0.73 | % | |||||||||||||||||||||||||
Nonperforming assets to total assets | 0.50 | % | 0.43 | % | |||||||||||||||||||||||||
Allowance for loan and lease losses to nonperforming loans (b) | 235 | % | 168 | % |
In millions | 2020 | 2019 | |||||||||||||||
January 1 | $ | 1,752 | $ | 1,808 | |||||||||||||
New nonperforming assets | 1,947 | 1,342 | |||||||||||||||
Charge-offs and valuation adjustments | (421) | (664) | |||||||||||||||
Principal activity, including paydowns and payoffs | (603) | (472) | |||||||||||||||
Asset sales and transfers to loans held for sale | (82) | (95) | |||||||||||||||
Returned to performing status | (256) | (167) | |||||||||||||||
December 31 | $ | 2,337 | $ | 1,752 |
Amount | % of Total Loans Outstanding | ||||||||||||||||||||||||||||||||||||||||
December 31
2020 |
December 31
2019 |
Change |
December 31
2020 |
December 31
2019 |
|||||||||||||||||||||||||||||||||||||
Dollars in millions | $ | % | |||||||||||||||||||||||||||||||||||||||
Early stage loan delinquencies | |||||||||||||||||||||||||||||||||||||||||
Accruing loans past due 30 to 59 days | $ | 620 | $ | 661 | $ | (41) | (6) | % | 0.26 | % | 0.28 | % | |||||||||||||||||||||||||||||
Accruing loans past due 60 to 89 days | 234 | 258 | (24) | (9) | % | 0.10 | % | 0.11 | % | ||||||||||||||||||||||||||||||||
Total early stage loan delinquencies | 854 | 919 | (65) | (7) | % | 0.35 | % | 0.38 | % | ||||||||||||||||||||||||||||||||
Late stage loan delinquencies | |||||||||||||||||||||||||||||||||||||||||
Accruing loans past due 90 days or more | 509 | 585 | (76) | (13) | % | 0.21 | % | 0.24 | % | ||||||||||||||||||||||||||||||||
Total accruing loans past due | $ | 1,363 | $ | 1,504 | $ | (141) | (9) | % | 0.56 | % | 0.63 | % |
December 31 2020 |
December 31
2019 |
Change | |||||||||||||||||||||||||||
Dollars in millions | $ | % | |||||||||||||||||||||||||||
Commercial | $ | 528 | $ | 361 | $ | 167 | 46% | ||||||||||||||||||||||
Consumer | 1,116 | 1,303 | (187) | (14)% | |||||||||||||||||||||||||
Total TDRs | $ | 1,644 | $ | 1,664 | $ | (20) | (1)% | ||||||||||||||||||||||
Nonperforming | $ | 902 | $ | 843 | $ | 59 | 7% | ||||||||||||||||||||||
Accruing (b) | 742 | 821 | (79) | (10)% | |||||||||||||||||||||||||
Total TDRs | $ | 1,644 | $ | 1,664 | $ | (20) | (1)% |
Modification Type | Home Equity | Residential Real Estate | Automobile | Credit Card | Education | Other Consumer | ||||||||||||||
Extensions - Defers current payments and moves them to the end of the loan by extending the loan’s maturity or the extension re-amortizes the remaining principal balance. | a | a | a | a | ||||||||||||||||
Forbearance - Part or all of the payments are deferred and moved to the end of the forbearance period. Balance is due at the end of the forbearance period, but payment options may be available to repay the forborne amount, including for many borrowers an option to delay payment until the payoff or maturity of the loan. | a | a | ||||||||||||||||||
Minimum payment suspension - Reduces required minimum payment to $0 for a period of time. | a | a | a | |||||||||||||||||
New loan terms - Sets loan terms to a new monthly payment of principal and interest based on customer’s financial situation. | a | a | a | |||||||||||||||||
Reduced payments - Allows the customer to make a lower payment for a period of time, with any deferred balance being moved to the end of the loan term or extending the loan’s maturity. | a | a | ||||||||||||||||||
Repayment plan - Allows reduced payment and interest rate for a period of time. | a | a |
As of December 31, 2020 - Dollars in millions |
Number of
Accounts |
Unpaid
Principal Balance |
% of Loan Class (c) | % Making Payment in Last Payment Cycle | ||||||||||||||||
Consumer | ||||||||||||||||||||
Home equity | 1,316 | $ | 112 | 0.5 | % | 66.9 | % | |||||||||||||
Residential real estate | 2,185 | 577 | 2.6 | % | 29.5 | % | ||||||||||||||
Automobile | 8,104 | 197 | 1.4 | % | 71.5 | % | ||||||||||||||
Credit card | 8,936 | 63 | 1.0 | % | 68.0 | % | ||||||||||||||
Education | 3,772 | 56 | 1.9 | % | 15.2 | % | ||||||||||||||
Other consumer | 1,928 | 25 | 0.5 | % | 73.0 | % | ||||||||||||||
Total consumer (d) | 26,241 | $ | 1,030 | 1.4 | % | 59.9 | % |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||||||||
Dollars in millions |
Allowance Amount | Total Loans | % of Total Loans | Allowance Amount | Total Loans | % of Total Loans | |||||||||||||||||||||||||||||
Allowance for loans and lease losses | |||||||||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||||||||
Commercial and industrial | $ | 2,300 | $ | 132,073 | 1.74 | % | $ | 1,489 | $ | 125,337 | 1.19 | % | |||||||||||||||||||||||
Commercial real estate | 880 | 28,716 | 3.06 | % | 278 | 28,110 | 0.99 | % | |||||||||||||||||||||||||||
Equipment lease financing | 157 | 6,414 | 2.45 | % | 45 | 7,155 | 0.63 | % | |||||||||||||||||||||||||||
Total commercial | 3,337 | 167,203 | 2.00 | % | 1,812 | 160,602 | 1.13 | % | |||||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||||||||||||
Home equity | 313 | 24,088 | 1.30 | % | 87 | 25,085 | 0.35 | % | |||||||||||||||||||||||||||
Residential real estate | 28 | 22,560 | 0.12 | % | 258 | 21,821 | 1.18 | % | |||||||||||||||||||||||||||
Automobile | 379 | 14,218 | 2.67 | % | 160 | 16,754 | 0.95 | % | |||||||||||||||||||||||||||
Credit card | 816 | 6,215 | 13.13 | % | 288 | 7,308 | 3.94 | % | |||||||||||||||||||||||||||
Education | 129 | 2,946 | 4.38 | % | 17 | 3,336 | 0.51 | % | |||||||||||||||||||||||||||
Other consumer | 359 | 4,698 | 7.64 | % | 120 | 4,937 | 2.43 | % | |||||||||||||||||||||||||||
Total consumer | 2,024 | 74,725 | 2.71 | % | 930 | 79,241 | 1.17 | % | |||||||||||||||||||||||||||
Total | $ | 5,361 | $ | 241,928 | 2.22 | % | $ | 2,742 | $ | 239,843 | 1.14 | % | |||||||||||||||||||||||
Allowance for unfunded lending related commitments
|
584 | 318 | |||||||||||||||||||||||||||||||||
Allowance for credit losses
|
$ | 5,945 | $ | 3,060 | |||||||||||||||||||||||||||||||
Allowance for credit losses to total loans | 2.46 | % | 1.28 | % | |||||||||||||||||||||||||||||||
Commercial | 2.29 | % | 1.33 | % | |||||||||||||||||||||||||||||||
Consumer | 2.84 | % | 1.18 | % |
Year ended December 31
Dollars in millions |
Gross Charge-offs | Recoveries | Net Charge-offs / (Recoveries) | % of Average Loans (Annualized) | |||||||||||||||||||||||||
2020 | |||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||
Commercial and industrial | $ | 382 | $ | 75 | $ | 307 | 0.22 | % | |||||||||||||||||||||
Commercial real estate | 2 | 9 | (7) | (0.02) | % | ||||||||||||||||||||||||
Equipment lease financing | 23 | 10 | 13 | 0.19 | % | ||||||||||||||||||||||||
Total Commercial | 407 | 94 | 313 | 0.18 | % | ||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||||||
Home equity | 42 | 61 | (19) | (0.08) | % | ||||||||||||||||||||||||
Residential real estate | 10 | 16 | (6) | (0.03) | % | ||||||||||||||||||||||||
Automobile | 265 | 128 | 137 | 0.86 | % | ||||||||||||||||||||||||
Credit card | 300 | 35 | 265 | 3.99 | % | ||||||||||||||||||||||||
Education | 16 | 8 | 8 | 0.25 | % | ||||||||||||||||||||||||
Other consumer | 152 | 18 | 134 | 2.75 | % | ||||||||||||||||||||||||
Total Consumer | $ | 785 | $ | 266 | $ | 519 | 0.67 | % | |||||||||||||||||||||
Total | $ | 1,192 | $ | 360 | $ | 832 | 0.33 | % | |||||||||||||||||||||
2019 | |||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||
Commercial and industrial | $ | 183 | $ | 59 | $ | 124 | 0.10 | % | |||||||||||||||||||||
Commercial real estate | 18 | 11 | 7 | 0.02 | % | ||||||||||||||||||||||||
Equipment lease financing | 15 | 8 | 7 | 0.10 | % | ||||||||||||||||||||||||
Total Commercial | 216 | 78 | 138 | 0.09 | % | ||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||||||
Home equity | 68 | 74 | (6) | (0.02) | % | ||||||||||||||||||||||||
Residential real estate | 9 | 14 | (5) | (0.02) | % | ||||||||||||||||||||||||
Automobile | 261 | 114 | 147 | 0.95 | % | ||||||||||||||||||||||||
Credit card | 263 | 27 | 236 | 3.60 | % | ||||||||||||||||||||||||
Education | 26 | 8 | 18 | 0.50 | % | ||||||||||||||||||||||||
Other consumer | 131 | 17 | 114 | 2.41 | % | ||||||||||||||||||||||||
Total Consumer | $ | 758 | $ | 254 | $ | 504 | 0.67 | % | |||||||||||||||||||||
Total | $ | 974 | $ | 332 | $ | 642 | 0.27 | % |
In billions | 2020 | |||||||
January 1 | $ | 35.1 | ||||||
Issuances | 3.5 | |||||||
Calls and maturities | (9.0) | |||||||
Other | 1.1 | |||||||
December 31 | $ | 30.7 |
Issuance Date | Amount | Description of Issuance | ||||||
February 25, 2020 | $1.0 billion |
$1.0 billion of senior floating rate notes with a maturity date of February 24, 2023. Interest is payable quarterly at the 3-month LIBOR rate, reset quarterly, plus 32.5 basis points, on February 24, May 24, August 24, and November 24, commencing on May 24, 2020.
|
||||||
February 25, 2020 | $500 million | $500 million of senior fixed-to-floating rate notes with a maturity date of February 24, 2023. Interest is payable semi-annually at a fixed rate of 1.743% per annum, on February 24 and August 24 of each year, beginning on August 24, 2020. Beginning on February 24, 2022, interest is payable quarterly at the floating rate equal to the 3-month LIBOR rate, reset quarterly, plus 32.3 basis points, on February 24, May 24, August 24, and November 24, commencing on May 24, 2022. |
Redemption Date | Amount | Description of Redemption | ||||||
March 12, 2020 | $1.1 billion | $1.1 billion of all outstanding Senior Floating Rate Notes with an original scheduled maturity date of March 12, 2021. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of March 12, 2020. | ||||||
April 20, 2020 | $1.0 billion | $1.0 billion of all outstanding Senior Notes with an original scheduled maturity date of May 19, 2020. The securities have a distribution rate of 2.000%. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of April 20, 2020. | ||||||
May 4, 2020 | $750 million | $750 million of all outstanding Senior Notes with an original scheduled maturity date of June 1, 2020. The securities have a distribution rate of 2.300%. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of May 4, 2020. | ||||||
June 10, 2020 | $800 million | $800 million of all outstanding Senior Floating Rate Notes with an original scheduled maturity date of June 10, 2021. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of June 10, 2020. | ||||||
June 22, 2020 | $750 million | $750 million of all outstanding Senior Notes with an original scheduled maturity date of July 21, 2020. The securities have a distribution rate of 2.600%. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of June 22, 2020. | ||||||
October 6, 2020 | $1.5 billion | $1.5 billion of all outstanding Senior Notes with an original scheduled maturity date of November 5, 2020. The securities have a distribution rate of 2.450%. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of October 6, 2020. | ||||||
December 23, 2020 | $900 million | $900 million of all outstanding Senior Notes with an original scheduled maturity date of January 22, 2021. The securities have a distribution rate of 2.500%. The redemption price was equal to $1,000 per $1,000 in principal amount, plus any accrued and unpaid distributions to the redemption date of December 23, 2020. |
Payment Due By Period | ||||||||||||||||||||||||||||||||
December 31, 2020 – in millions | Total |
Less than
one year |
One to
three years |
Four to
five years |
After five
years |
|||||||||||||||||||||||||||
Remaining contractual maturities of time deposits | $ | 19,692 | $ | 17,452 | $ | 1,518 | $ | 499 | $ | 223 | ||||||||||||||||||||||
Borrowed funds (a) | 37,195 | 7,958 | 11,956 | 5,706 | 11,575 | |||||||||||||||||||||||||||
Minimum annual rentals on noncancellable operating leases | 2,312 | 364 | 649 | 477 | 822 | |||||||||||||||||||||||||||
Nonqualified pension and postretirement benefits | 418 | 49 | 90 | 86 | 193 | |||||||||||||||||||||||||||
Purchase obligations (b) | 1,111 | 519 | 463 | 103 | 26 | |||||||||||||||||||||||||||
Total contractual cash obligations | $ | 60,728 | $ | 26,342 | $ | 14,676 | $ | 6,871 | $ | 12,839 |
Amount Of Commitment Expiration By Period | ||||||||||||||||||||||||||||||||
December 31, 2020 – in millions | Total Amounts Committed |
Less than one
year |
One to
three years |
Four to
five years |
After
five years |
|||||||||||||||||||||||||||
Commitments to extend credit (b) | $ | 207,821 | $ | 99,592 | $ | 64,956 | $ | 42,338 | $ | 935 | ||||||||||||||||||||||
Net outstanding standby letters of credit (c) | 9,053 | 4,583 | 3,548 | 914 | 8 | |||||||||||||||||||||||||||
Standby bond purchase agreements | 1,448 | 274 | 720 | 454 | ||||||||||||||||||||||||||||
Other commitments (d) | 2,046 | 1,086 | 585 | 48 | 327 | |||||||||||||||||||||||||||
Total commitments | $ | 220,368 | $ | 105,535 | $ | 69,809 | $ | 43,754 | $ | 1,270 |
December 31, 2020 | |||||||||||
Moody’s | Standard & Poor’s | Fitch | |||||||||
PNC | |||||||||||
Senior debt | A3 | A- | A | ||||||||
Subordinated debt | A3 | BBB+ | A- | ||||||||
Preferred stock | Baa2 | BBB- | BBB | ||||||||
PNC Bank | |||||||||||
Senior debt | A2 | A | A+ | ||||||||
Subordinated debt | A3 | A- | A | ||||||||
Long-term deposits | Aa2 | A | AA- | ||||||||
Short-term deposits | P-1 | A-1 | F1+ | ||||||||
Short-term notes | P-1 | A-1 | F1 |
Dollars in millions |
Basel III
December 31, 2020 (a) |
December 31, 2020 (Fully Implemented) (estimated) (b) | ||||||
Common equity Tier 1 capital | ||||||||
Common stock plus related surplus, net of treasury stock | $ | 875 | $ | 875 | ||||
Retained earnings | 48,083 | 46,848 | ||||||
Goodwill, net of associated deferred tax liabilities | (9,021) | (9,021) | ||||||
Other disallowed intangibles, net of deferred tax liabilities | (172) | (172) | ||||||
Other adjustments/(deductions) | (30) | (33) | ||||||
Common equity Tier 1 capital | $ | 39,735 | $ | 38,497 | ||||
Additional Tier 1 capital | ||||||||
Preferred stock plus related surplus | 3,517 | 3,517 | ||||||
Other adjustments/(deductions) | ||||||||
Tier 1 capital | $ | 43,252 | $ | 42,014 | ||||
Additional Tier 2 capital | ||||||||
Qualifying subordinated debt | 3,648 | 3,648 | ||||||
Trust preferred capital securities | 40 | |||||||
Eligible credit reserves includable in Tier 2 capital | 4,061 | 4,061 | ||||||
Total Basel III capital | $ | 51,001 | $ | 49,723 | ||||
Risk-weighted assets | ||||||||
Basel III standardized approach risk-weighted assets (c) | $ | 326,772 | $ | 325,547 | ||||
Average quarterly adjusted total assets | $ | 454,220 | $ | 452,983 | ||||
Supplementary leverage exposure (d) | $ | 437,526 | $ | 539,999 | ||||
Basel III risk-based capital and leverage ratios (a)(e) | ||||||||
Common equity Tier 1 | 12.2 | % | 11.8 | % | ||||
Tier 1 | 13.2 | % | 12.9 | % | ||||
Total (f) | 15.6 | % | 15.3 | % | ||||
Leverage (g) | 9.5 | % | 9.3 | % | ||||
Supplementary leverage ratio (d) | 9.9 | % | 7.8 | % |
Fourth Quarter 2020 | Fourth Quarter 2019 | |||||||||||||
Net Interest Income Sensitivity Simulation (a) | ||||||||||||||
Effect on net interest income in first year from gradual interest rate change over the following 12
months of: |
||||||||||||||
100 basis point increase | 4.7 | % | 1.5 | % | ||||||||||
Effect on net interest income in second year from gradual interest rate change over the preceding 12
months of: |
||||||||||||||
100 basis point increase | 12.5 | % | 3.8 | % | ||||||||||
Key Period-End Interest Rates | ||||||||||||||
One-month LIBOR | 0.14 | % | 1.76 | % | ||||||||||
Three-month LIBOR | 0.24 | % | 1.91 | % | ||||||||||
Three-year swap | 0.24 | % | 1.69 | % |
December 31, 2020 | ||||||||||||||||||||
PNC
Economist |
Market
Forward |
Slope
Flattening |
||||||||||||||||||
First year sensitivity | 0.6 | % | 0.5 | % | (0.9) | % | ||||||||||||||
Second year sensitivity | 3.3 | % | 1.9 | % | (3.1) | % |
Dollars in millions | December 31 2020 | December 31 2019 | Change | |||||||||||||||||||||||
$ | % | |||||||||||||||||||||||||
Tax credit investments | $ | 2,870 | $ | 2,218 | $ | 652 | 29 | % | ||||||||||||||||||
Private equity and other | 3,182 | 2,958 | 224 | 8 | % | |||||||||||||||||||||
Total | $ | 6,052 | $ | 5,176 | $ | 876 | 17 | % |
Year ended December 31 | |||||||||||||||||
In millions, except per share data | 2020 | 2019 | 2018 | ||||||||||||||
Interest Income | |||||||||||||||||
Loans | $ | 8,927 | $ | 10,525 | $ | 9,580 | |||||||||||
Investment securities | 2,041 | 2,426 | 2,261 | ||||||||||||||
Other | 339 | 811 | 741 | ||||||||||||||
Total interest income | 11,307 | 13,762 | 12,582 | ||||||||||||||
Interest Expense | |||||||||||||||||
Deposits | 643 | 1,986 | 1,229 | ||||||||||||||
Borrowed funds | 718 | 1,811 | 1,632 | ||||||||||||||
Total interest expense | 1,361 | 3,797 | 2,861 | ||||||||||||||
Net interest income | 9,946 | 9,965 | 9,721 | ||||||||||||||
Noninterest Income | |||||||||||||||||
Asset management | 836 | 862 | 883 | ||||||||||||||
Consumer services | 1,484 | 1,555 | 1,502 | ||||||||||||||
Corporate services | 2,167 | 1,914 | 1,849 | ||||||||||||||
Residential mortgage | 604 | 368 | 316 | ||||||||||||||
Service charges on deposits | 500 | 702 | 714 | ||||||||||||||
Other | 1,364 | 1,473 | 1,205 | ||||||||||||||
Total noninterest income | 6,955 | 6,874 | 6,469 | ||||||||||||||
Total revenue | 16,901 | 16,839 | 16,190 | ||||||||||||||
Provision For Credit Losses | 3,175 | 773 | 408 | ||||||||||||||
Noninterest Expense | |||||||||||||||||
Personnel | 5,673 | 5,647 | 5,471 | ||||||||||||||
Occupancy | 826 | 834 | 818 | ||||||||||||||
Equipment | 1,176 | 1,210 | 1,103 | ||||||||||||||
Marketing | 236 | 301 | 285 | ||||||||||||||
Other | 2,386 | 2,582 | 2,619 | ||||||||||||||
Total noninterest expense | 10,297 | 10,574 | 10,296 | ||||||||||||||
Income from continuing operations before income taxes and noncontrolling interests | 3,429 | 5,492 | 5,486 | ||||||||||||||
Income taxes from continuing operations | 426 | 901 | 928 | ||||||||||||||
Net income from continuing operations | 3,003 | 4,591 | 4,558 | ||||||||||||||
Income from discontinued operations before taxes | 5,777 | 988 | 942 | ||||||||||||||
Income taxes from discontinued operations | 1,222 | 161 | 154 | ||||||||||||||
Net income from discontinued operations | 4,555 | 827 | 788 | ||||||||||||||
Net income | 7,558 | 5,418 | 5,346 | ||||||||||||||
Less: Net income attributable to noncontrolling interests | 41 | 49 | 45 | ||||||||||||||
Preferred stock dividends | 229 | 236 | 236 | ||||||||||||||
Preferred stock discount accretion and redemptions | 4 | 4 | 4 | ||||||||||||||
Net income attributable to common shareholders | $ | 7,284 | $ | 5,129 | $ | 5,061 | |||||||||||
Earnings Per Common Share | |||||||||||||||||
Basic earnings from continuing operations | $ | 6.37 | $ | 9.59 | $ | 9.11 | |||||||||||
Basic earnings from discontinued operations | 10.62 | 1.84 | 1.68 | ||||||||||||||
Total basic earnings | $ | 16.99 | $ | 11.43 | $ | 10.79 | |||||||||||
Diluted earnings from continuing operations | $ | 6.36 | $ | 9.57 | $ | 9.06 | |||||||||||
Diluted earnings from discontinued operations | 10.60 | 1.82 | 1.65 | ||||||||||||||
Total diluted earnings | $ | 16.96 | $ | 11.39 | $ | 10.71 | |||||||||||
Average Common Shares Outstanding | |||||||||||||||||
Basic | 427 | 447 | 467 | ||||||||||||||
Diluted | 427 | 448 | 470 |
Year ended December 31 | |||||||||||||||||
In millions | 2020 | 2019 | 2018 | ||||||||||||||
Net income from continuing operations | $ | 3,003 | $ | 4,591 | $ | 4,558 | |||||||||||
Other comprehensive income (loss), before tax and net of reclassifications into Net income | |||||||||||||||||
Net change in debt securities | 1,811 | 1,489 | (540) | ||||||||||||||
Net change in cash flow hedge derivatives | 497 | 297 | (178) | ||||||||||||||
Pension and other postretirement benefit plan adjustments | 82 | 158 | 16 | ||||||||||||||
Net change in Other | 10 | 17 | 18 | ||||||||||||||
Other comprehensive income (loss) from continuing operations, before tax and net of reclassifications into Net income | 2,400 | 1,961 | (684) | ||||||||||||||
Income tax benefit (expense) from continuing operations related to items of other comprehensive income | (544) | (441) | 144 | ||||||||||||||
Other comprehensive income (loss) from continuing operations, after tax and net of reclassifications into Net income | 1,856 | 1,520 | (540) | ||||||||||||||
Net income from discontinued operations | 4,555 | 827 | 788 | ||||||||||||||
Other comprehensive income (loss) from discontinued operations, before tax and net of reclassifications into Net income | 148 | 5 | (55) | ||||||||||||||
Income tax benefit (expense) from discontinued operations related to items of other comprehensive income | (33) | (1) | 12 | ||||||||||||||
Other comprehensive income (loss) from discontinued operations, after tax and net of reclassifications into Net income | 115 | 4 | (43) | ||||||||||||||
Other comprehensive income (loss), after tax and net of reclassifications into Net income | 1,971 | 1,524 | (583) | ||||||||||||||
Comprehensive income | 9,529 | 6,942 | 4,763 | ||||||||||||||
Less: Comprehensive income attributable to noncontrolling interests | 41 | 49 | 45 | ||||||||||||||
Comprehensive income attributable to PNC | $ | 9,488 | $ | 6,893 | $ | 4,718 |
December 31 | December 31 | ||||||||||
In millions, except par value | 2020 | 2019 | |||||||||
Assets | |||||||||||
Cash and due from banks | $ | 7,017 | $ | 5,061 | |||||||
Interest-earning deposits with banks | 85,173 | 23,413 | |||||||||
Loans held for sale (a) | 1,597 | 1,083 | |||||||||
Asset held for sale (b) | 8,558 | ||||||||||
Investment securities – available for sale | 87,358 | 69,163 | |||||||||
Investment securities – held to maturity | 1,441 | 17,661 | |||||||||
Loans (a) | 241,928 | 239,843 | |||||||||
Allowance for loan and lease losses (c) | (5,361) | (2,742) | |||||||||
Net loans | 236,567 | 237,101 | |||||||||
Equity investments | 6,052 | 5,176 | |||||||||
Mortgage servicing rights | 1,242 | 1,644 | |||||||||
Goodwill | 9,233 | 9,233 | |||||||||
Other (a) | 30,999 | 32,202 | |||||||||
Total assets | $ | 466,679 | $ | 410,295 | |||||||
Liabilities | |||||||||||
Deposits | |||||||||||
Noninterest-bearing | $ | 112,637 | $ | 72,779 | |||||||
Interest-bearing | 252,708 | 215,761 | |||||||||
Total deposits | 365,345 | 288,540 | |||||||||
Borrowed funds | |||||||||||
Federal Home Loan Bank borrowings | 3,500 | 16,341 | |||||||||
Bank notes and senior debt | 24,271 | 29,010 | |||||||||
Subordinated debt | 6,403 | 6,134 | |||||||||
Other (d) | 3,021 | 8,778 | |||||||||
Total borrowed funds | 37,195 | 60,263 | |||||||||
Allowance for unfunded lending related commitments (c) | 584 | 318 | |||||||||
Accrued expenses and other liabilities | 9,514 | 11,831 | |||||||||
Total liabilities | 412,638 | 360,952 | |||||||||
Equity | |||||||||||
Preferred stock (e) | |||||||||||
Common stock ($5 par value, Authorized 800 shares, issued 543 shares)
|
2,713 | 2,712 | |||||||||
Capital surplus | 15,884 | 16,369 | |||||||||
Retained earnings | 46,848 | 42,215 | |||||||||
Accumulated other comprehensive income | 2,770 | 799 | |||||||||
Common stock held in treasury at cost: 119 and 109 shares
|
(14,205) | (12,781) | |||||||||
Total shareholders’ equity | 54,010 | 49,314 | |||||||||
Noncontrolling interests | 31 | 29 | |||||||||
Total equity | 54,041 | 49,343 | |||||||||
Total liabilities and equity | $ | 466,679 | $ | 410,295 |
|
Shareholders’ Equity | ||||||||||||||||||||||||||||||||||
In millions |
Shares
Outstanding Common Stock |
Common
Stock |
Capital
Surplus - Preferred Stock |
Capital
Surplus - Common Stock and Other |
Retained
Earnings |
Accumulated
Other Comprehensive Income (Loss) |
Treasury
Stock |
Noncontrolling
Interests |
Total
Equity |
||||||||||||||||||||||||||
Balance at December 31, 2017 (a) | 473 | $ | 2,710 | $ | 3,985 | $ | 12,389 | $ | 35,481 | $ | (148) | $ | (6,904) | $ | 72 | $ | 47,585 | ||||||||||||||||||
Cumulative effect of ASU adoptions (b) | (22) | 6 | (16) | ||||||||||||||||||||||||||||||||
Balance at January 1, 2018 (a) | 473 | $ | 2,710 | $ | 3,985 | $ | 12,389 | $ | 35,459 | $ | (142) | $ | (6,904) | $ | 72 | $ | 47,569 | ||||||||||||||||||
Net income | 5,301 | 45 | 5,346 | ||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | (583) | (583) | |||||||||||||||||||||||||||||||||
Cash dividends declared - Common | (1,601) | (1,601) | |||||||||||||||||||||||||||||||||
Cash dividends declared - Preferred | (236) | (236) | |||||||||||||||||||||||||||||||||
Preferred stock discount accretion | 4 | (4) | |||||||||||||||||||||||||||||||||
Common stock activity (c) | 1 | 19 | 20 | ||||||||||||||||||||||||||||||||
Treasury stock activity | (16) | (101) | (2,550) | (2,651) | |||||||||||||||||||||||||||||||
Other | (3) | (16) | (75) | (94) | |||||||||||||||||||||||||||||||
Balance at December 31, 2018 (a) | 457 | $ | 2,711 | $ | 3,986 | $ | 12,291 | $ | 38,919 | $ | (725) | $ | (9,454) | $ | 42 | $ | 47,770 | ||||||||||||||||||
Cumulative effect of ASU adoptions (d) | 62 | 62 | |||||||||||||||||||||||||||||||||
Balance at January 1, 2019 (a) | 457 | $ | 2,711 | $ | 3,986 | $ | 12,291 | $ | 38,981 | $ | (725) | $ | (9,454) | $ | 42 | $ | 47,832 | ||||||||||||||||||
Net income | 5,369 | 49 | 5,418 | ||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | 1,524 | 1,524 | |||||||||||||||||||||||||||||||||
Cash dividends declared - Common | (1,895) | (1,895) | |||||||||||||||||||||||||||||||||
Cash dividends declared - Preferred | (236) | (236) | |||||||||||||||||||||||||||||||||
Preferred stock discount accretion | 4 | (4) | |||||||||||||||||||||||||||||||||
Common stock activity (c) | 1 | 20 | 21 | ||||||||||||||||||||||||||||||||
Treasury stock activity | (24) | 3 | (3,327) | (3,324) | |||||||||||||||||||||||||||||||
Other | 3 | 62 | (62) | 3 | |||||||||||||||||||||||||||||||
Balance at December 31, 2019 (a) | 433 | $ | 2,712 | $ | 3,993 | $ | 12,376 | $ | 42,215 | $ | 799 | $ | (12,781) | $ | 29 | $ | 49,343 | ||||||||||||||||||
Cumulative effect of ASU adoptions (e) | (671) | (671) | |||||||||||||||||||||||||||||||||
Balance at January 1, 2020 (a) | 433 | $ | 2,712 | $ | 3,993 | $ | 12,376 | $ | 41,544 | $ | 799 | $ | (12,781) | $ | 29 | $ | 48,672 | ||||||||||||||||||
Net income | 7,517 | 41 | 7,558 | ||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax | 1,971 | 1,971 | |||||||||||||||||||||||||||||||||
Cash dividends declared - Common | (1,980) | (1,980) | |||||||||||||||||||||||||||||||||
Cash dividends declared - Preferred | (229) | (229) | |||||||||||||||||||||||||||||||||
Preferred stock discount accretion | 4 | (4) | |||||||||||||||||||||||||||||||||
Common stock activity (c) | 1 | 23 | 24 | ||||||||||||||||||||||||||||||||
Treasury stock activity | (9) | 54 | (1,424) | (1,370) | |||||||||||||||||||||||||||||||
Preferred stock redemption - Series Q (f) | (480) | (480) | |||||||||||||||||||||||||||||||||
Other | (86) | (39) | (125) | ||||||||||||||||||||||||||||||||
Balance at December 31, 2020 (a) | 424 | $ | 2,713 | $ | 3,517 | $ | 12,367 | $ | 46,848 | $ | 2,770 | $ | (14,205) | $ | 31 | $ | 54,041 |
Year ended December 31 | ||||||||||||||||||||
In millions | 2020 | 2019 | 2018 | |||||||||||||||||
Operating Activities | ||||||||||||||||||||
Net income | $ | 7,558 | $ | 5,418 | $ | 5,346 | ||||||||||||||
Adjustments to reconcile net income to net cash provided (used) by operating activities | ||||||||||||||||||||
Provision for credit losses | 3,175 | 773 | 408 | |||||||||||||||||
Depreciation and amortization | 1,497 | 1,315 | 1,129 | |||||||||||||||||
Deferred income taxes (benefit) | (2,239) | 303 | 133 | |||||||||||||||||
Net gains on sales of securities | (305) | |||||||||||||||||||
Changes in fair value of mortgage servicing rights | 799 | 645 | 172 | |||||||||||||||||
Gain on sale of BlackRock | (5,740) | |||||||||||||||||||
Undistributed earnings of BlackRock | (174) | (531) | (525) | |||||||||||||||||
Net change in | ||||||||||||||||||||
Trading securities and other short-term investments | 957 | 560 | (893) | |||||||||||||||||
Loans held for sale | (372) | (123) | 1,635 | |||||||||||||||||
Other assets | (927) | (788) | 108 | |||||||||||||||||
Accrued expenses and other liabilities | (254) | 132 | 295 | |||||||||||||||||
Other | 684 | (341) | 32 | |||||||||||||||||
Net cash provided (used) by operating activities | $ | 4,659 | $ | 7,363 | $ | 7,840 | ||||||||||||||
Investing Activities | ||||||||||||||||||||
Sales | ||||||||||||||||||||
Securities available for sale | $ | 13,851 | $ | 7,755 | $ | 7,505 | ||||||||||||||
Net proceeds from sale of BlackRock | 14,225 | |||||||||||||||||||
Loans | 1,894 | 1,664 | 1,323 | |||||||||||||||||
Repayments/maturities | ||||||||||||||||||||
Securities available for sale | 30,901 | 11,974 | 9,388 | |||||||||||||||||
Securities held to maturity | 60 | 3,348 | 2,447 | |||||||||||||||||
Purchases | ||||||||||||||||||||
Securities available for sale | (45,356) | (23,739) | (23,418) | |||||||||||||||||
Securities held to maturity | (53) | (1,751) | (3,370) | |||||||||||||||||
Loans | (1,982) | (1,027) | (690) | |||||||||||||||||
Net change in | ||||||||||||||||||||
Federal funds sold and resale agreements | 1,738 | 4,899 | (5,837) | |||||||||||||||||
Interest-earning deposits with banks | (61,760) | (12,520) | 17,702 | |||||||||||||||||
Loans | (3,376) | (14,963) | (7,335) | |||||||||||||||||
Net cash received from divestiture activity | 75 | |||||||||||||||||||
Other | (1,264) | (705) | (1,684) | |||||||||||||||||
Net cash provided (used) by investing activities | $ | (51,122) | $ | (24,990) | $ | (3,969) |
Year ended December 31 | ||||||||||||||||||||
In millions | 2020 | 2019 | 2018 | |||||||||||||||||
Financing Activities | ||||||||||||||||||||
Net change in | ||||||||||||||||||||
Noninterest-bearing deposits | $ | 39,851 | $ | (1,166) | $ | (6,016) | ||||||||||||||
Interest-bearing deposits | 36,947 | 21,882 | 8,690 | |||||||||||||||||
Federal funds purchased and repurchase agreements | (5,861) | 4,260 | 392 | |||||||||||||||||
Short-term Federal Home Loan Bank borrowings | (6,300) | 4,800 | 1,500 | |||||||||||||||||
Commercial paper | (100) | |||||||||||||||||||
Other borrowed funds | 123 | (495) | 20 | |||||||||||||||||
Sales/issuances | ||||||||||||||||||||
Federal Home Loan Bank borrowings | 9,060 | 12,040 | 9,500 | |||||||||||||||||
Bank notes and senior debt | 3,487 | 8,977 | 3,238 | |||||||||||||||||
Subordinated debt | 744 | 1,243 | ||||||||||||||||||
Other borrowed funds | 647 | 1,131 | 500 | |||||||||||||||||
Preferred stock | ||||||||||||||||||||
Common and treasury stock | 65 | 90 | 69 | |||||||||||||||||
Repayments/maturities | ||||||||||||||||||||
Federal Home Loan Bank borrowings | (15,601) | (22,000) | (10,536) | |||||||||||||||||
Bank notes and senior debt | (9,047) | (5,600) | (6,175) | |||||||||||||||||
Subordinated debt | (700) | (575) | ||||||||||||||||||
Other borrowed funds | (639) | (1,174) | (548) | |||||||||||||||||
Preferred stock redemption | (480) | |||||||||||||||||||
Acquisition of treasury stock | (1,624) | (3,578) | (2,877) | |||||||||||||||||
Preferred stock cash dividends paid | (229) | (236) | (236) | |||||||||||||||||
Common stock cash dividends paid | (1,980) | (1,895) | (1,601) | |||||||||||||||||
Net cash provided (used) by financing activities | $ | 48,419 | $ | 17,080 | $ | (3,512) | ||||||||||||||
Net Increase (Decrease) In Cash And Due From Banks And Restricted Cash | $ | 1,956 | $ | (547) | $ | 359 | ||||||||||||||
Net cash provided by discontinued operations | 11,542 | 299 | 264 | |||||||||||||||||
Net cash provided (used) by continuing operations | (9,586) | (846) | 95 | |||||||||||||||||
Cash and due from banks and restricted cash at beginning of period | 5,061 | 5,608 | 5,249 | |||||||||||||||||
Cash and due from banks and restricted cash at end of period | $ | 7,017 | $ | 5,061 | $ | 5,608 | ||||||||||||||
Cash and due from banks and restricted cash | ||||||||||||||||||||
Cash and due from banks at end of period (unrestricted cash) | $ | 6,636 | $ | 5,061 | $ | 5,608 | ||||||||||||||
Restricted cash | $ | 381 | ||||||||||||||||||
Cash and due from banks and restricted cash at end of period | $ | 7,017 | $ | 5,061 | $ | 5,608 | ||||||||||||||
Supplemental Disclosures | ||||||||||||||||||||
Interest paid | $ | 1,292 | $ | 3,742 | $ | 2,835 | ||||||||||||||
Income taxes paid | $ | 3,410 | $ | 430 | $ | 372 | ||||||||||||||
Income taxes refunded | $ | 10 | $ | 17 | $ | 468 | ||||||||||||||
Leased assets obtained in exchange for new operating lease liabilities | $ | 122 | $ | 317 | ||||||||||||||||
Right-of-use assets recognized at adoption of ASU 2016-02 | $ | 2,004 | ||||||||||||||||||
Non-cash Investing and Financing Items | ||||||||||||||||||||
Transfer from loans to loans held for sale, net | $ | 1,379 | $ | 958 | $ | 403 | ||||||||||||||
Transfer from loans to foreclosed assets | $ | 64 | $ | 174 | $ | 193 | ||||||||||||||
Transfer from trading securities to investment securities | $ | 289 | $ | 328 | ||||||||||||||||
Accounting Standards Update | Description | Financial Statement Impact | ||||||
Credit Losses - ASU 2016-13
Issued June 2016
Codification Improvements - ASU 2019-04
Various improvements related to Credit Losses (Topics 1, 2 and 5)
Issued April 2019
Targeted Transition
Relief - Credit Losses - ASU 2019-05
Issued May 2019
Codification Improvements - ASU 2019-11
Issued November 2019
|
•Commonly referred to as the CECL standard.
• Replaces measurement, recognition and disclosure guidance for credit related reserves (i.e., ALLL and the allowance for unfunded loan commitments and letters of credit) and OTTI for debt securities.
• Requires the use of an expected credit loss methodology; specifically, current expected credit losses for the remaining life of the asset will be recognized starting from the time of origination or acquisition.
• Methodology applies to loans, net investment in leases, debt securities and certain financial assets not accounted for at fair value through net income. It also applies to unfunded lending related commitments except for unconditionally cancellable commitments.
• In-scope assets are presented at the net amount expected to be collected after the deduction or addition of the ACL from the amortized cost basis of the assets.
• Requires inclusion of expected recoveries of previously charged-off amounts for in-scope assets.
• Requires enhanced credit quality disclosures including disaggregation of credit quality indicators by vintage.
• Requires a modified retrospective approach through a cumulative-effect adjustment to retained earnings at adoption.
|
• Adopted January 1, 2020 under the modified retrospective approach. The cumulative-effect adjustment to retained earnings totaled $671 million at adoption.
• Amended presentation and disclosures are required prospectively. Refer to the disclosures in this Note 1, Note 3 Investment Securities and Note 4 Loans and Related Allowance for Credit Losses for additional information.
• With the adoption of CECL, we discontinued the accounting for purchased impaired loans and elected the one-time fair value option election for some of these loans and certain residential real estate collateral dependent loans. Loans that were previously accounted for as purchased impaired where the fair value option election was not made are now accounted for as PCD loans.
• There was no impact to the recorded investment of our investment securities or loans, except for our PCD loan portfolio. Accounting for these loans as PCD required an adjustment to the remaining accretable discount and recorded investment in addition to the impact on ACL due to the adoption of CECL methodology.
• Refer to Table 38 for a summary of the impact of the CECL standard adoption.
|
||||||
Accounting Standards Update | Description | Financial Statement Impact | ||||||
Codification Improvements - ASU 2019-04
Topic 3: Codification Improvements to ASU 2017-12 and Other Hedging Items
Issued April 2019
|
• Targeted improvements related to:
- Partial-term fair value hedges of interest rate risk
- Amortization of fair value hedge basis adjustments
- Disclosure of fair value hedge basis adjustments
- Consideration of the hedged contractually specified interest rate under the hypothetical derivative method
- Application of a first-payments-received cash flow hedging technique to overall cash flows on a group of variable interest payments
- Update to transition guidance for ASU 2017-12
• This ASU permits a one-time transfer out of held to maturity securities to provide entities the opportunity to hedge fixed rate, prepayable securities under a last of layer hedging strategy (although an entity is not required to hedge such securities subsequent to transfer).
|
•Adopted January 1, 2020.
• As permitted by the eligibility requirements in this guidance, at adoption we elected to transfer debt securities with an amortized cost of $16.2 billion (fair value of $16.5 billion) from held to maturity to the available for sale portfolio. The transfer resulted in a pretax increase to AOCI of $306 million. There were no other impacts to PNC’s consolidated financial statements from the adoption of this guidance.
|
Accounting Standards Update | Description | Financial Statement Impact | ||||||
Goodwill - ASU 2017-04
Issued January 2017
|
• Eliminates Step 2 from the goodwill impairment test to simplify the subsequent measurement of goodwill under which a loss was recognized only if the estimated implied fair value of the goodwill is below its carrying value.
• Requires impairment to be recognized if the reporting unit’s carrying value exceeds the fair value.
|
• Adopted January 1, 2020.
• The adoption of this standard did not impact our consolidated results of operations or our consolidated financial position.
|
||||||
Accounting Standards Update | Description | Financial Statement Impact | ||||||
Reference Rate Reform - ASU 2020-04
Issued March 2020
Reference Rate Reform Scope - ASU 2021-01
Issued January 2021
|
• Provides optional expedients and exceptions for applying generally accepted accounting principles to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform (codified in ASC 848).
• Includes optional expedients related to contract modifications that allow an entity to account for modifications (if certain criteria are met) as if the modifications were only minor (assets within the scope of ASC 310, Receivables), were not substantial (assets within the scope of ASC 470, Debt) and/or did not result in remeasurements or reclassifications (assets within the scope of ASC 842, Leases, and other Topics) of the existing contract.
• Includes optional expedients related to hedging relationships within the scope of ASC 815, Derivatives & Hedging, whereby changes to the critical terms of a hedging relationship do not require dedesignation if certain criteria are met. In addition, potential sources of ineffectiveness as a result of reference rate reform may be disregarded when performing some effectiveness assessments.
• Includes optional expedients and exceptions for contract modifications and hedge accounting that apply to derivative instruments impacted by the market-wide discounting transition.
• Allows for a one-time election to sell, transfer, or both sell and transfer debt securities classified as held to maturity that reference a rate affected by reference rate reform and that are classified as held to maturity before January 1, 2020.
• Guidance in these ASUs are effective as of March 12, 2020 through December 31, 2022.
|
• Adopted March 12, 2020. ASU 2021-01 was retrospectively adopted October 1, 2020.
• During the second quarter of 2020, we elected to transfer all debt securities classified as held to maturity that are indexed to LIBOR to the available for sale portfolio. All securities were classified as held to maturity prior to January 1, 2020. These securities had an amortized cost and fair value of $49 million and $48 million, respectively, as of the transfer date. See Note 3 Investment Securities for more information.
• During the fourth quarter of 2020, we elected to apply certain optional expedients for contract modifications and hedging relationships to derivative instruments impacted by the market-wide discounting transition. These optional expedients remove the requirement to remeasure contract modifications or dedesignate hedging relationships due to reference rate reform. The elections made in the fourth quarter of 2020 apply only to derivative instruments impacted by the market-wide discounting transition, not all derivative instruments.
• As of December 31, 2020, we have not yet elected to apply any optional expedients for contract modifications and hedging relationships to any other financial instruments. However, we plan to elect these optional expedients in the future.
|
In millions | December 31, 2019 | Transition Adjustment | January 1, 2020 | |||||||||||
Allowance for credit losses | ||||||||||||||
Allowance for loan and lease losses | ||||||||||||||
Commercial | $ | 1,812 | $ | (304) | $ | 1,508 | ||||||||
Consumer | 930 | 767 | 1,697 | |||||||||||
Total allowance for loan and lease losses | 2,742 | 463 | 3,205 | |||||||||||
Unfunded lending related commitments | 318 | 179 | 497 | |||||||||||
Other | 19 | 19 | ||||||||||||
Total allowance for credit losses | $ | 3,060 | $ | 661 | $ | 3,721 | ||||||||
In millions | December 31, 2019 | Transition Adjustment | January 1, 2020 | |||||||||||
Impact to retained earnings (a) | $ | 42,215 | $ | (671) | $ | 41,544 |
Commercial | |||||
Loans classified as nonperforming and accounted for as nonaccrual |
• Loans accounted for at amortized cost where:
–The loan is 90 days or more past due.
–The loan is rated substandard or worse due to the determination that full collection of principal and interest is not probable as demonstrated by the following conditions:
•The collection of principal or interest is 90 days or more past due,
•Reasonable doubt exists as to the certainty of the borrower’s future debt service ability, according to the terms of the credit arrangement, regardless of whether 90 days have passed or not,
•The borrower has filed or will likely file for bankruptcy,
•The bank advances additional funds to cover principal or interest,
•We are in the process of liquidating a commercial borrower or
•We are pursuing remedies under a guarantee.
|
||||
Loans excluded from nonperforming classification but accounted for as nonaccrual |
• Loans accounted for under the fair value option and full collection of principal and interest is not probable.
• Loans accounted for at the lower of cost or market less costs to sell (held for sale) and full collection of
principal and interest is not probable.
|
||||
Loans excluded from nonperforming classification and nonaccrual accounting |
• Loans that are well secured and in the process of collection.
• Certain government insured loans where substantially all principle and interest is insured.
• Commercial purchasing card assets which do not accrue interest.
|
Consumer | |||||
Loans classified as nonperforming and accounted for as nonaccrual |
• Loans accounted for at amortized cost where full collection of contractual principal and interest is not
deemed probable as demonstrated in the policies below:
– The loan is 90 days past due for home equity and installment loans, and 180 days past due for well
secured residential real estate loans,
– The loan has been modified and classified as a TDR,
– The loan has been modified to defer prior payments in forbearance to the end of the loan term,
– Notification of bankruptcy has been received,
– The bank holds a subordinate lien position in the loan and the first lien mortgage loan is seriously
stressed (i.e., 90 days or more past due),
– Other loans within the same borrower relationship have been placed on nonaccrual or charge-offs have
been taken on them,
– The bank has ordered the repossession of non-real estate collateral securing the loan or
– The bank has charged-off the loan to the value of the collateral.
|
||||
Loans excluded from nonperforming classification but accounted for as nonaccrual |
• Loans accounted for under the fair value option and full collection of principal and interest is not probable.
• Loans accounted for at the lower of cost or market less costs to sell (held for sale) and full collection of
principal and interest is not probable.
|
||||
Loans excluded from nonperforming classification and nonaccrual accounting |
• Certain government insured loans where substantially all principal and interest is insured.
• Residential real estate loans that are well secured and in the process of collection.
• Consumer loans and lines of credit, not secured by residential real estate or automobiles, as permitted by
regulatory guidance.
|
Loan Class | Probability of Default | Loss Given Default | Exposure at Default | |||||||||||
Commercial | ||||||||||||||
Commercial and industrial / Equipment lease financing |
•For wholesale obligors: internal risk ratings based on borrower characteristics and industry
•For retail small balance obligors: credit score, delinquency status, and product type
|
•Collateral type, collateral value, industry, size and outstanding exposure for secured loans
•Capital structure, industry and size for unsecured loans
•For retail small balance obligors, product type and credit scores
|
•Outstanding balances, commitment, contractual maturities and historical prepayment experience for loans
•Current utilization and historical pre-default draw experience for lines
|
|||||||||||
Commercial real estate |
•Property performance metrics, property type, market and risk pool for the forecast period
•Internal risk ratings based on borrower characteristics for the long run average
|
•Property values and anticipated liquidation costs
|
•Outstanding balances, commitment, contractual maturities and historical prepayment experience for loans
|
|||||||||||
Consumer | ||||||||||||||
Home equity / Residential real estate |
•Borrower credit scores, delinquency status, origination vintage, LTV and contractual maturity
|
•Collateral characteristics, LTV and costs to sell
|
•Outstanding balances, contractual maturities and historical prepayment experience for loans
•Current utilization and historical pre-default draw experience for lines
|
|||||||||||
Automobile |
•Borrower credit scores, delinquency status, borrower income, LTV and contractual maturity
|
•New vs. used, LTV and borrower credit scores
|
•Outstanding balances, contractual maturities and historical prepayment experience
|
|||||||||||
Credit card |
•Borrower credit scores, delinquency status, utilization, payment behavior and months on book
|
•Borrower credit scores and credit line amount
|
•Pay-down curves are developed using a pro-rata method and estimated using borrower behavior segments, payment ratios and borrower credit scores
|
|||||||||||
Education / Other consumer |
•Net charge-off and pay-down rates by vintage are used to estimate expected losses in lieu of discrete risk parameters
|
Loan Class | Forecast Period - Key Economic Variables | Reversion Method | Long Run Average | ||||||||
Commercial | |||||||||||
Commercial and industrial / Equipment lease financing |
•GDP and Gross Domestic Income measures, employment related variables and personal income and consumption measures
|
•Immediate reversion
|
•Average parameters determined based on internal and external historical data
•Modeled parameters using long run economic conditions for retail small balance obligors
|
||||||||
Commercial real estate | • CRE Price Index, unemployment rates, GDP, corporate bond yield and interest rates | • Immediate reversion | • Average parameters determined based on internal and external historical data | ||||||||
Consumer | |||||||||||
Home equity / Residential real estate |
•Unemployment rates, HPI and interest rates
|
•Straight-line over 3 years
|
•Modeled parameters using long run economic conditions
|
||||||||
Automobile |
•Unemployment rates, HPI, personal consumption expenditure and Manheim used car index
|
•Straight-line over 1 year
|
•Average parameters determined based on internal and external historical data
|
||||||||
Credit card |
•Unemployment rates, personal consumption expenditure and HPI
|
•Straight-line over 2 years
|
•Modeled parameters using long run economic conditions
|
||||||||
Education / Other consumer |
•Net charge-off and pay-down rates by vintage are used to estimate expected losses in lieu of discrete risk parameters
|
Year ended December 31 | ||||||||||||||
In millions | 2020 | 2019 | 2018 | |||||||||||
Noninterest income | $ | 5,777 | $ | 988 | $ | 942 | ||||||||
Total revenue | 5,777 | 988 | 942 | |||||||||||
Income from discontinued operations before income taxes | 5,777 | 988 | 942 | |||||||||||
Income taxes | 1,222 | 161 | 154 | |||||||||||
Net income from discontinued operations | $ | 4,555 | $ | 827 | $ | 788 |
Year ended December 31 | ||||||||||||||
In millions | 2020 | 2019 | 2018 | |||||||||||
Cash flows from discontinued operations | ||||||||||||||
Net cash provided (used) by operating activities of discontinued operations | $ | (2,683) | $ | 299 | $ | 264 | ||||||||
Net cash provided by investing activities of discontinued operations | $ | 14,225 |
December 31, 2020 (a) | December 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
In millions |
Amortized
Cost (b) |
Unrealized |
Fair
Value |
Amortized
Cost |
Unrealized |
Fair
Value |
|||||||||||||||||||||||||||||||||||||||||||||||
Gains | Losses | Gains | Losses | ||||||||||||||||||||||||||||||||||||||||||||||||||
Securities Available for Sale | |||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 19,821 | $ | 903 | $ | (13) | $ | 20,711 | $ | 16,150 | $ | 382 | $ | (16) | $ | 16,516 | |||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | 47,355 | 1,566 | (10) | 48,911 | 35,847 | 517 | (43) | 36,321 | |||||||||||||||||||||||||||||||||||||||||||||
Non-agency | 1,272 | 243 | (14) | 1,501 | 1,515 | 302 | (3) | 1,814 | |||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | 2,571 | 119 | (2) | 2,688 | 3,094 | 42 | (18) | 3,118 | |||||||||||||||||||||||||||||||||||||||||||||
Non-agency | 3,678 | 78 | (67) | 3,689 | 3,352 | 29 | (9) | 3,372 | |||||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 5,060 | 100 | (10) | 5,150 | 5,044 | 78 | (8) | 5,114 | |||||||||||||||||||||||||||||||||||||||||||||
Other | 4,415 | 293 | 4,708 | 2,788 | 121 | (1) | 2,908 | ||||||||||||||||||||||||||||||||||||||||||||||
Total securities available for sale (b) | $ | 84,172 | $ | 3,302 | $ | (116) | $ | 87,358 | $ | 67,790 | $ | 1,471 | $ | (98) | $ | 69,163 | |||||||||||||||||||||||||||||||||||||
Securities Held to Maturity | |||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 795 | $ | 125 | $ | 920 | $ | 776 | $ | 56 | $ | 832 | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | 14,419 | 270 | $ | (26) | 14,663 | ||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency | 133 | 7 | 140 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | 59 | 1 | 60 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency | 430 | 4 | 434 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 52 | 52 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 646 | 42 | $ | (3) | 685 | 1,792 | 85 | (14) | 1,863 | ||||||||||||||||||||||||||||||||||||||||||||
Total securities held to maturity (b) (c) | $ | 1,441 | $ | 167 | $ | (3) | $ | 1,605 | $ | 17,661 | $ | 423 | $ | (40) | $ | 18,044 |
Unrealized loss position
less than 12 months |
Unrealized loss position
12 months or more |
Total | ||||||||||||||||||||||||||||||||||||
In millions |
Unrealized
Loss |
Fair
Value |
Unrealized
Loss |
Fair
Value |
Unrealized
Loss |
Fair
Value |
||||||||||||||||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | (13) | $ | 603 | $ | (13) | $ | 603 | ||||||||||||||||||||||||||||||
Residential mortgage-backed | ||||||||||||||||||||||||||||||||||||||
Agency | (8) | 3,152 | $ | (2) | $ | 82 | (10) | 3,234 | ||||||||||||||||||||||||||||||
Non-agency | (7) | 119 | (7) | 73 | (14) | 192 | ||||||||||||||||||||||||||||||||
Commercial mortgage-backed | ||||||||||||||||||||||||||||||||||||||
Agency | (2) | 149 | (2) | 149 | ||||||||||||||||||||||||||||||||||
Non-agency | (13) | 972 | (7) | 714 | (20) | 1,686 | ||||||||||||||||||||||||||||||||
Asset-backed | (1) | 339 | (9) | 706 | (10) | 1,045 | ||||||||||||||||||||||||||||||||
Total securities available for sale | $ | (42) | $ | 5,185 | $ | (27) | $ | 1,724 | $ | (69) | $ | 6,909 |
Unrealized loss position less than 12 months | Unrealized loss position 12 months or more | Total | |||||||||||||||||||||||||||||||||||||||
In millions |
Unrealized
Loss |
Fair
Value |
Unrealized
Loss |
Fair
Value |
Unrealized
Loss |
Fair
Value |
|||||||||||||||||||||||||||||||||||
December 31, 2019 | |||||||||||||||||||||||||||||||||||||||||
Securities Available for Sale | |||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | (14) | $ | 2,451 | $ | (2) | $ | 607 | $ | (16) | $ | 3,058 | |||||||||||||||||||||||||||||
Residential mortgage-backed | |||||||||||||||||||||||||||||||||||||||||
Agency | (6) | 2,832 | (37) | 4,659 | (43) | 7,491 | |||||||||||||||||||||||||||||||||||
Non-agency | (3) | 102 | (3) | 102 | |||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | |||||||||||||||||||||||||||||||||||||||||
Agency | (6) | 852 | (12) | 953 | (18) | 1,805 | |||||||||||||||||||||||||||||||||||
Non-agency | (4) | 1,106 | (5) | 230 | (9) | 1,336 | |||||||||||||||||||||||||||||||||||
Asset-backed | (3) | 660 | (5) | 561 | (8) | 1,221 | |||||||||||||||||||||||||||||||||||
Other | (1) | 403 | (1) | 403 | |||||||||||||||||||||||||||||||||||||
Total securities available for sale | $ | (33) | $ | 7,901 | $ | (65) | $ | 7,515 | $ | (98) | $ | 15,416 | |||||||||||||||||||||||||||||
Securities Held to Maturity | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed - Agency | $ | (26) | $ | 2,960 | $ | (26) | $ | 2,960 | |||||||||||||||||||||||||||||||||
Other | $ | (1) | $ | 22 | (13) | 105 | (14) | 127 | |||||||||||||||||||||||||||||||||
Total securities held to maturity | $ | (1) | $ | 22 | $ | (39) | $ | 3,065 | $ | (40) | $ | 3,087 |
Year ended December 31
In millions |
Gross Gains | Gross Losses | Net Gains | Tax Expense | ||||||||||||||||||||||
2020 | $ | 307 | $ | (2) | $ | 305 | $ | 64 | ||||||||||||||||||
2019 | $ | 69 | $ | (21) | $ | 48 | $ | 10 | ||||||||||||||||||
2018 | $ | 57 | $ | (57) |
December 31, 2020 |
1 Year or
Less |
After 1 Year
through 5 Years |
After 5 Years
through 10 Years |
After 10
Years |
Total | |||||||||||||||||||||||||||
Dollars in millions | ||||||||||||||||||||||||||||||||
Securities Available for Sale | ||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 1,149 | $ | 11,973 | $ | 5,418 | $ | 1,281 | $ | 19,821 | ||||||||||||||||||||||
Residential mortgage-backed | ||||||||||||||||||||||||||||||||
Agency | 1 | 205 | 2,384 | 44,765 | 47,355 | |||||||||||||||||||||||||||
Non-agency | 1,272 | 1,272 | ||||||||||||||||||||||||||||||
Commercial mortgage-backed | ||||||||||||||||||||||||||||||||
Agency | 13 | 563 | 679 | 1,316 | 2,571 | |||||||||||||||||||||||||||
Non-agency | 83 | 236 | 3,359 | 3,678 | ||||||||||||||||||||||||||||
Asset-backed | 67 | 2,375 | 1,029 | 1,589 | 5,060 | |||||||||||||||||||||||||||
Other | 788 | 1,502 | 1,218 | 907 | 4,415 | |||||||||||||||||||||||||||
Total securities available for sale at amortized cost | $ | 2,018 | $ | 16,701 | $ | 10,964 | $ | 54,489 | $ | 84,172 | ||||||||||||||||||||||
Fair value | $ | 2,038 | $ | 17,283 | $ | 11,443 | $ | 56,594 | $ | 87,358 | ||||||||||||||||||||||
Weighted-average yield, GAAP basis (a) | 2.20 | % | 1.81 | % | 1.74 | % | 2.80 | % | 2.45 | % | ||||||||||||||||||||||
Securities Held to Maturity | ||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 199 | $ | 312 | $ | 284 | $ | 795 | ||||||||||||||||||||||||
Other | $ | 34 | 422 | 109 | 81 | 646 | ||||||||||||||||||||||||||
Total securities held to maturity at amortized cost | $ | 34 | $ | 621 | $ | 421 | $ | 365 | $ | 1,441 | ||||||||||||||||||||||
Fair value | $ | 35 | $ | 659 | $ | 507 | $ | 404 | $ | 1,605 | ||||||||||||||||||||||
Weighted-average yield, GAAP basis (a) | 3.75 | % | 3.26 | % | 3.93 | % | 2.48 | % | 3.29 | % |
In millions |
December 31
2020 |
December 31
2019 |
|||||||||
Pledged to others | $ | 22,841 | $ | 14,609 | |||||||
Accepted from others: | |||||||||||
Permitted by contract or custom to sell or repledge (a) | $ | 683 | $ | 2,349 | |||||||
Permitted amount repledged to others | $ | 683 | $ | 360 |
Commercial | Consumer | |||||||
• Commercial and industrial
|
• Home equity
|
|||||||
• Commercial real estate
|
• Residential real estate
|
|||||||
• Equipment lease financing
|
• Automobile
|
|||||||
• Credit card
|
||||||||
• Education
|
||||||||
• Other consumer
|
||||||||
Accruing | |||||||||||||||||||||||||||||||||||
Dollars in millions |
Current or Less
Than 30 Days Past Due |
30-59
Days Past Due |
60-89
Days Past Due |
90 Days
Or More Past Due |
Total
Past Due (c) |
Nonperforming
Loans |
Fair Value
Option Nonaccrual Loans (d) |
Total
Loans (e)(f) |
|||||||||||||||||||||||||||
December 31, 2020 (a) (b) | |||||||||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||||||||
Commercial and industrial | $ | 131,245 | $ | 106 | $ | 26 | $ | 30 | $ | 162 | $ | 666 | $ | 132,073 | |||||||||||||||||||||
Commercial real estate | 28,485 | 6 | 1 | 7 | 224 | 28,716 | |||||||||||||||||||||||||||||
Equipment lease financing | 6,345 | 31 | 5 | 36 | 33 | 6,414 | |||||||||||||||||||||||||||||
Total commercial | 166,075 | 143 | 32 | 30 | 205 | 923 | 167,203 | ||||||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||||||||||||
Home equity | 23,318 | 50 | 21 | 71 | 645 | $ | 54 | 24,088 | |||||||||||||||||||||||||||
Residential real estate | 20,945 | 181 | 78 | 319 | 578 | (c) | 528 | 509 | 22,560 | ||||||||||||||||||||||||||
Automobile | 13,863 | 134 | 34 | 12 | 180 | 175 | 14,218 | ||||||||||||||||||||||||||||
Credit card | 6,074 | 43 | 30 | 60 | 133 | 8 | 6,215 | ||||||||||||||||||||||||||||
Education | 2,785 | 55 | 29 | 77 | 161 | (c) | 2,946 | ||||||||||||||||||||||||||||
Other consumer | 4,656 | 14 | 10 | 11 | 35 | 7 | 4,698 | ||||||||||||||||||||||||||||
Total consumer | 71,641 | 477 | 202 | 479 | 1,158 | 1,363 | 563 | 74,725 | |||||||||||||||||||||||||||
Total | $ | 237,716 | $ | 620 | $ | 234 | $ | 509 | $ | 1,363 | $ | 2,286 | $ | 563 | $ | 241,928 | |||||||||||||||||||
Percentage of total loans | 98.27 | % | 0.26 | % | 0.10 | % | 0.21 | % | 0.56 | % | 0.94 | % | 0.23 | % | 100.00 | % |
Accruing | |||||||||||||||||||||||||||||||||||
Dollars in millions |
Current or Less
Than 30 Days Past Due |
30-59 Days
Past Due |
60-89 Days
Past Due |
90 Days
Or More Past Due |
Total Past
Due (h) |
Nonperforming
Loans |
Fair Value
Option Nonaccrual Loans (i) |
Purchased
Impaired Loans |
Total
Loans (j) |
||||||||||||||||||||||||||
December 31, 2019 (g) | |||||||||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||||||||
Commercial and industrial
|
$ | 124,695 | $ | 102 | $ | 30 | $ | 85 | $ | 217 | $ | 425 | $ | 125,337 | |||||||||||||||||||||
Commercial real estate
|
28,061 | 4 | 1 | 5 | 44 | 28,110 | |||||||||||||||||||||||||||||
Equipment lease financing
|
7,069 | 49 | 5 | 54 | 32 | 7,155 | |||||||||||||||||||||||||||||
Total commercial | 159,825 | 155 | 36 | 85 | 276 | 501 | 160,602 | ||||||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||||||||||||
Home equity | 23,791 | 58 | 24 | 82 | 669 | $ | 543 | 25,085 | |||||||||||||||||||||||||||
Residential real estate | 19,640 | 140 | 69 | 315 | 524 | (h) | 315 | $ | 166 | 1,176 | 21,821 | ||||||||||||||||||||||||
Automobile | 16,376 | 178 | 47 | 18 | 243 | 135 | 16,754 | ||||||||||||||||||||||||||||
Credit card | 7,133 | 60 | 37 | 67 | 164 | 11 | 7,308 | ||||||||||||||||||||||||||||
Education | 3,156 | 55 | 34 | 91 | 180 | (h) | 3,336 | ||||||||||||||||||||||||||||
Other consumer | 4,898 | 15 | 11 | 9 | 35 | 4 | 4,937 | ||||||||||||||||||||||||||||
Total consumer | 74,994 | 506 | 222 | 500 | 1,228 | 1,134 | 166 | 1,719 | 79,241 | ||||||||||||||||||||||||||
Total | $ | 234,819 | $ | 661 | $ | 258 | $ | 585 | $ | 1,504 | $ | 1,635 | $ | 166 | $ | 1,719 | $ | 239,843 | |||||||||||||||||
Percentage of total loans | 97.90 | % | 0.28 | % | 0.11 | % | 0.24 | % | 0.63 | % | 0.68 | % | 0.07 | % | 0.72 | % | 100.00 | % |
Dollars in millions |
December 31
2020 |
December 31
2019 |
|||||||||||||||
Nonperforming loans | |||||||||||||||||
Commercial | $ | 923 | $ | 501 | |||||||||||||
Consumer (a) | 1,363 | 1,134 | |||||||||||||||
Total nonperforming loans (b) | 2,286 | 1,635 | |||||||||||||||
OREO and foreclosed assets | 51 | 117 | |||||||||||||||
Total nonperforming assets | $ | 2,337 | $ | 1,752 | |||||||||||||
Nonperforming loans to total loans | 0.94 | % | 0.68 | % | |||||||||||||
Nonperforming assets to total loans, OREO and foreclosed assets | 0.97 | % | 0.73 | % | |||||||||||||
Nonperforming assets to total assets | 0.50 | % | 0.43 | % |
Term Loans by Origination Year | |||||||||||||||||||||||||||||
December 31, 2020 - In millions | 2020 | 2019 | 2018 | 2017 | 2016 | Prior | Revolving Loans | Revolving Loans Converted to Term |
Total
Loans |
||||||||||||||||||||
Commercial and industrial | |||||||||||||||||||||||||||||
Pass Rated | $ | 31,680 | $ | 13,340 | $ | 8,209 | $ | 5,956 | $ | 4,242 | $ | 7,141 | $ | 54,775 | $ | 53 | $ | 125,396 | |||||||||||
Criticized | 339 | 702 | 578 | 334 | 224 | 351 | 4,130 | 19 | 6,677 | ||||||||||||||||||||
Total commercial and industrial | 32,019 | 14,042 | 8,787 | 6,290 | 4,466 | 7,492 | 58,905 | 72 | 132,073 | ||||||||||||||||||||
Commercial real estate | |||||||||||||||||||||||||||||
Pass Rated | 3,709 | 6,268 | 3,426 | 2,841 | 2,341 | 6,792 | 218 | 25,595 | |||||||||||||||||||||
Criticized | 319 | 548 | 148 | 423 | 400 | 1,159 | 124 | 3,121 | |||||||||||||||||||||
Total commercial real estate | 4,028 | 6,816 | 3,574 | 3,264 | 2,741 | 7,951 | 342 | 28,716 | |||||||||||||||||||||
Equipment lease financing | |||||||||||||||||||||||||||||
Pass Rated | 1,429 | 1,202 | 942 | 738 | 405 | 1,350 | 6,066 | ||||||||||||||||||||||
Criticized | 78 | 92 | 86 | 39 | 22 | 31 | 348 | ||||||||||||||||||||||
Total equipment lease financing | 1,507 | 1,294 | 1,028 | 777 | 427 | 1,381 | 6,414 | ||||||||||||||||||||||
Total commercial | $ | 37,554 | $ | 22,152 | $ | 13,389 | $ | 10,331 | $ | 7,634 | $ | 16,824 | $ | 59,247 | $ | 72 | $ | 167,203 |
December 31, 2019 - In millions | Pass Rated | Criticized | Total Loans | |||||||||||||||||
Commercial and industrial | $ | 119,761 | $ | 5,576 | $ | 125,337 | ||||||||||||||
Commercial real estate | 27,424 | 686 | 28,110 | |||||||||||||||||
Equipment lease financing | 6,891 | 264 | 7,155 | |||||||||||||||||
Total commercial | $ | 154,076 | $ | 6,526 | $ | 160,602 |
Term Loans by Origination Year | |||||||||||||||||||||||||||||
December 31, 2020 - In millions | 2020 | 2019 | 2018 | 2017 | 2016 | Prior | Revolving Loans | Revolving Loans Converted to Term | Total Loans | ||||||||||||||||||||
Home equity | |||||||||||||||||||||||||||||
Current estimated LTV ratios | . | ||||||||||||||||||||||||||||
Greater than 100% | $ | 8 | $ | 44 | $ | 18 | $ | 15 | $ | 9 | $ | 88 | $ | 580 | $ | 279 | $ | 1,041 | |||||||||||
Greater than or equal to 80% to 100% | 517 | 320 | 59 | 42 | 25 | 158 | 1,781 | 591 | 3,493 | ||||||||||||||||||||
Less than 80% | 2,909 | 1,636 | 513 | 773 | 660 | 3,754 | 6,433 | 2,876 | 19,554 | ||||||||||||||||||||
Total home equity | $ | 3,434 | $ | 2,000 | $ | 590 | $ | 830 | $ | 694 | $ | 4,000 | $ | 8,794 | $ | 3,746 | $ | 24,088 | |||||||||||
Updated FICO scores | |||||||||||||||||||||||||||||
Greater than or equal to 780 | $ | 2,019 | $ | 1,094 | $ | 311 | $ | 525 | $ | 449 | $ | 2,467 | $ | 5,382 | $ | 1,480 | $ | 13,727 | |||||||||||
720 to 779 | 1,028 | 558 | 153 | 181 | 145 | 777 | 2,137 | 941 | 5,920 | ||||||||||||||||||||
660 to 719 | 334 | 273 | 86 | 84 | 66 | 402 | 985 | 625 | 2,855 | ||||||||||||||||||||
Less than 660 | 52 | 74 | 39 | 39 | 33 | 345 | 277 | 620 | 1,479 | ||||||||||||||||||||
No FICO score available
|
1 | 1 | 1 | 1 | 1 | 9 | 13 | 80 | 107 | ||||||||||||||||||||
Total home equity
|
$ | 3,434 | $ | 2,000 | $ | 590 | $ | 830 | $ | 694 | $ | 4,000 | $ | 8,794 | $ | 3,746 | $ | 24,088 | |||||||||||
Residential real estate | |||||||||||||||||||||||||||||
Current estimated LTV ratios | |||||||||||||||||||||||||||||
Greater than 100% | $ | 3 | $ | 52 | $ | 26 | $ | 42 | $ | 41 | $ | 160 | $ | 324 | |||||||||||||||
Greater than or equal to 80% to 100% | 495 | 422 | 127 | 156 | 124 | 307 | 1,631 | ||||||||||||||||||||||
Less than 80% | 7,491 | 3,656 | 992 | 1,706 | 1,847 | 3,991 | 19,683 | ||||||||||||||||||||||
Government insured or guaranteed loans
|
7 | 28 | 27 | 38 | 57 | 765 | 922 | ||||||||||||||||||||||
Total residential real estate
|
$ | 7,996 | $ | 4,158 | $ | 1,172 | $ | 1,942 | $ | 2,069 | $ | 5,223 | $ | 22,560 | |||||||||||||||
Updated FICO scores | |||||||||||||||||||||||||||||
Greater than or equal to 780 | $ | 5,425 | $ | 3,099 | $ | 814 | $ | 1,432 | $ | 1,538 | $ | 2,551 | $ | 14,859 | |||||||||||||||
720 to 779 | 2,268 | 820 | 220 | 340 | 335 | 818 | 4,801 | ||||||||||||||||||||||
660 to 719 | 252 | 161 | 76 | 98 | 92 | 475 | 1,154 | ||||||||||||||||||||||
Less than 660 | 40 | 48 | 33 | 31 | 41 | 485 | 678 | ||||||||||||||||||||||
No FICO score available
|
4 | 2 | 2 | 3 | 6 | 129 | 146 | ||||||||||||||||||||||
Government insured or guaranteed loans
|
7 | 28 | 27 | 38 | 57 | 765 | 922 | ||||||||||||||||||||||
Total residential real estate | $ | 7,996 | $ | 4,158 | $ | 1,172 | $ | 1,942 | $ | 2,069 | $ | 5,223 | $ | 22,560 |
Home equity | Residential real estate | |||||||
December 31, 2019 - In millions | ||||||||
Current estimated LTV ratios | ||||||||
Greater than or equal to 100% | $ | 1,243 | $ | 333 | ||||
Greater than or equal to 90% to less than 100% | 1,047 | 340 | ||||||
Less than 90% | 22,068 | 19,305 | ||||||
No LTV ratio available | 184 | 83 | ||||||
Government insured or guaranteed loans | 584 | |||||||
Purchased impaired loans | 543 | 1,176 | ||||||
Total loans | $ | 25,085 | $ | 21,821 | ||||
Updated FICO Scores | ||||||||
Greater than 660 | $ | 22,245 | $ | 19,341 | ||||
Less than or equal to 660 | 2,019 | 569 | ||||||
No FICO score available | 278 | 151 | ||||||
Government insured or guaranteed loans | 584 | |||||||
Purchased impaired loans | 543 | 1,176 | ||||||
Total loans | $ | 25,085 | $ | 21,821 |
Term Loans by Origination Year | |||||||||||||||||||||||||||||
December 31, 2020 - In millions | 2020 | 2019 | 2018 | 2017 | 2016 | Prior | Revolving Loans | Revolving Loans Converted to Term | Total Loans | ||||||||||||||||||||
Updated FICO Scores | |||||||||||||||||||||||||||||
Automobile | |||||||||||||||||||||||||||||
FICO score greater than or equal to 780 | $ | 1,807 | $ | 1,915 | $ | 807 | $ | 452 | $ | 246 | $ | 58 | $ | 5,285 | |||||||||||||||
720 to 779 | 1,098 | 1,581 | 789 | 381 | 167 | 44 | 4,060 | ||||||||||||||||||||||
660 to 719 | 617 | 1,222 | 684 | 288 | 109 | 31 | 2,951 | ||||||||||||||||||||||
Less than 660 | 192 | 776 | 598 | 240 | 87 | 29 | 1,922 | ||||||||||||||||||||||
Total automobile | $ | 3,714 | $ | 5,494 | $ | 2,878 | $ | 1,361 | $ | 609 | $ | 162 | $ | 14,218 | |||||||||||||||
Credit card | |||||||||||||||||||||||||||||
FICO score greater than or equal to 780 | $ | 1,635 | $ | 3 | $ | 1,638 | |||||||||||||||||||||||
720 to 779 | 1,724 | 11 | 1,735 | ||||||||||||||||||||||||||
660 to 719 | 1,765 | 26 | 1,791 | ||||||||||||||||||||||||||
Less than 660 | 902 | 51 | 953 | ||||||||||||||||||||||||||
No FICO score available or required (a) | 94 | 4 | 98 | ||||||||||||||||||||||||||
Total credit card | $ | 6,120 | $ | 95 | $ | 6,215 | |||||||||||||||||||||||
Education | |||||||||||||||||||||||||||||
FICO score greater than or equal to 780 | $ | 34 | $ | 90 | $ | 74 | $ | 59 | $ | 50 | $ | 428 | $ | 735 | |||||||||||||||
720 to 779 | 24 | 46 | 38 | 28 | 20 | 190 | 346 | ||||||||||||||||||||||
660 to 719 | 15 | 15 | 14 | 9 | 6 | 90 | 149 | ||||||||||||||||||||||
Less than 660 | 3 | 2 | 3 | 2 | 2 | 37 | 49 | ||||||||||||||||||||||
No FICO score available or required (a) | 16 | 10 | 6 | 3 | 1 | 36 | |||||||||||||||||||||||
Total loans using FICO credit metric | 92 | 163 | 135 | 101 | 78 | 746 | 1,315 | ||||||||||||||||||||||
Other internal credit metrics | 1,631 | 1,631 | |||||||||||||||||||||||||||
Total education | $ | 92 | $ | 163 | $ | 135 | $ | 101 | $ | 78 | $ | 2,377 | $ | 2,946 | |||||||||||||||
Other consumer | |||||||||||||||||||||||||||||
FICO score greater than or equal to 780 | $ | 162 | $ | 187 | $ | 63 | $ | 21 | $ | 5 | $ | 42 | $ | 86 | $ | 1 | $ | 567 | |||||||||||
720 to 779 | 197 | 247 | 82 | 22 | 5 | 22 | 123 | 698 | |||||||||||||||||||||
660 to 719 | 127 | 210 | 81 | 17 | 3 | 14 | 117 | 1 | 570 | ||||||||||||||||||||
Less than 660 | 28 | 86 | 41 | 9 | 2 | 8 | 53 | 1 | 228 | ||||||||||||||||||||
Total loans using FICO credit metric | 514 | 730 | 267 | 69 | 15 | 86 | 379 | 3 | 2,063 | ||||||||||||||||||||
Other internal credit metrics | 67 | 33 | 37 | 26 | 60 | 75 | 2,334 | 3 | 2,635 | ||||||||||||||||||||
Total other consumer | $ | 581 | $ | 763 | $ | 304 | $ | 95 | $ | 75 | $ | 161 | $ | 2,713 | $ | 6 | $ | 4,698 |
December 31, 2019 - In millions | Automobile | Credit Card | Education | Other consumer | |||||||||||||
FICO score greater than 719 | $ | 9,232 | $3,867 | $ | 1,139 | $1,421 | |||||||||||
650 to 719 | 4,577 | 2,326 | 197 | 843 | |||||||||||||
620 to 649 | 1,001 | 419 | 25 | 132 | |||||||||||||
Less than 620 | 1,603 | 544 | 27 | 143 | |||||||||||||
No FICO score available or required (a) | 341 | 152 | 15 | 27 | |||||||||||||
Total loans using FICO credit metric | 16,754 | 7,308 | 1,403 | 2,566 | |||||||||||||
Consumer loans using other internal credit metrics | 1,933 | 2,371 | |||||||||||||||
Total loans | $ | 16,754 | $ | 7,308 | $ | 3,336 | $ | 4,937 | |||||||||
Weighted-average updated FICO score (b) | 726 | 724 | 773 | 727 |
Pre-TDR
Recorded Investment (e) |
Post-TDR Recorded Investment (f) | ||||||||||||||||||||||||||||||||||||||||
During the year ended December 31, 2019 (d)
Dollars in millions |
Number
of Loans |
Principal
Forgiveness |
Rate
Reduction |
Other | Total | ||||||||||||||||||||||||||||||||||||
Commercial | 75 | $ | 278 | $ | 11 | $ | 241 | $ | 252 | ||||||||||||||||||||||||||||||||
Consumer | 14,548 | 172 | 97 | 64 | 161 | ||||||||||||||||||||||||||||||||||||
Total TDRs | 14,623 | $ | 450 | $ | 108 | $ | 305 | $ | 413 | ||||||||||||||||||||||||||||||||
During the year ended December 31, 2018 (d)
Dollars in millions |
|||||||||||||||||||||||||||||||||||||||||
Commercial | 85 | $ | 272 | $ | 2 | $ | 67 | $ | 179 | $ | 248 | ||||||||||||||||||||||||||||||
Consumer | 12,096 | 163 | 1 | 86 | 63 | 150 | |||||||||||||||||||||||||||||||||||
Total TDRs | 12,181 | $ | 435 | $ | 3 | $ | 153 | $ | 242 | $ | 398 |
At or for the year ended December 31 | 2020 | |||||||||||||
In millions | Commercial | Consumer | Total | |||||||||||
Allowance for loan and lease losses | ||||||||||||||
Beginning balance | $ | 1,812 | $ | 930 | $ | 2,742 | ||||||||
Adoption of ASU 2016-13 (b) | (304) | 767 | 463 | |||||||||||
Beginning balance, adjusted | 1,508 | 1,697 | 3,205 | |||||||||||
Charge-offs | (407) | (785) | (1,192) | |||||||||||
Recoveries | 94 | 266 | 360 | |||||||||||
Net (charge-offs) | (313) | (519) | (832) | |||||||||||
Provision for credit losses | 2,139 | 846 | 2,985 | |||||||||||
Other | 3 | 3 | ||||||||||||
Ending balance | $ | 3,337 | $ | 2,024 | $ | 5,361 | ||||||||
Allowance for unfunded lending related commitments (c)
|
||||||||||||||
Beginning balance | $ | 316 | $ | 2 | $ | 318 | ||||||||
Adoption of ASU 2016-13 (b) | 53 | 126 | 179 | |||||||||||
Beginning balance, adjusted | 369 | 128 | 497 | |||||||||||
Provision for (recapture of) credit losses | 116 | (29) | 87 | |||||||||||
Ending balance | $ | 485 | $ | 99 | $ | 584 | ||||||||
Allowance for credit losses at December 31 | $ | 3,822 | $ | 2,123 | $ | 5,945 |
At or for the year ended December 31 | 2019 | 2018 | ||||||||||||||||||||||||
Dollars in millions | Commercial | Consumer | Total | Commercial | Consumer | Total | ||||||||||||||||||||
Allowance for loan and lease losses | ||||||||||||||||||||||||||
January 1 | $ | 1,663 | $ | 966 | $ | 2,629 | $ | 1,582 | $ | 1,029 | $ | 2,611 | ||||||||||||||
Charge-offs | (216) | (758) | (974) | (124) | (640) | (764) | ||||||||||||||||||||
Recoveries | 78 | 254 | 332 | 99 | 245 | 344 | ||||||||||||||||||||
Net (charge-offs) | (138) | (504) | (642) | (25) | (395) | (420) | ||||||||||||||||||||
Provision for credit losses | 320 | 453 | 773 | 97 | 311 | 408 | ||||||||||||||||||||
Net (increase) / decrease in allowance for unfunded loan commitments and letters of credit | (34) | 1 | (33) | 11 | 1 | 12 | ||||||||||||||||||||
Other | 1 | 14 | 15 | (2) | 20 | 18 | ||||||||||||||||||||
December 31 | $ | 1,812 | $ | 930 | $ | 2,742 | $ | 1,663 | $ | 966 | $ | 2,629 | ||||||||||||||
TDRs individually evaluated for impairment | $ | 40 | $ | 93 | $ | 133 | $ | 25 | $ | 136 | $ | 161 | ||||||||||||||
Other loans individually evaluated for impairment | 58 | 58 | 48 | 48 | ||||||||||||||||||||||
Loans collectively evaluated for impairment | 1,714 | 563 | 2,277 | 1,590 | 555 | 2,145 | ||||||||||||||||||||
Purchased impaired loans | 274 | 274 | 275 | 275 | ||||||||||||||||||||||
December 31 | $ | 1,812 | $ | 930 | $ | 2,742 | $ | 1,663 | $ | 966 | $ | 2,629 | ||||||||||||||
Loan portfolio | ||||||||||||||||||||||||||
TDRs individually evaluated for impairment | $ | 361 | $ | 1,303 | $ | 1,664 | $ | 409 | $ | 1,442 | $ | 1,851 | ||||||||||||||
Other loans individually evaluated for impairment | 220 | 220 | 232 | 232 | ||||||||||||||||||||||
Loans collectively evaluated for impairment | 160,021 | 75,477 | 235,498 | 151,641 | 69,722 | 221,363 | ||||||||||||||||||||
Fair value option loans (a) | 742 | 742 | 782 | 782 | ||||||||||||||||||||||
Purchased impaired loans | 1,719 | 1,719 | 2,017 | 2,017 | ||||||||||||||||||||||
December 31 | $ | 160,602 | $ | 79,241 | $ | 239,843 | $ | 152,282 | $ | 73,963 | $ | 226,245 |
In millions | Residential Mortgages | Commercial Mortgages (a) | |||||||||||||||
Cash Flows - Year ended December 31, 2020 | |||||||||||||||||
Sales of loans (b) | $ | 6,654 | $ | 4,521 | |||||||||||||
Repurchases of previously transferred loans (c) | $ | 673 | $ | 229 | |||||||||||||
Servicing fees (d) | $ | 338 | $ | 133 | |||||||||||||
Servicing advances recovered/(funded), net | $ | (32) | $ | (280) | |||||||||||||
Cash flows on mortgage-backed securities held (e) | $ | 9,234 | $ | 83 | |||||||||||||
Cash Flows - Year ended December 31, 2019 | |||||||||||||||||
Sales of loans (b) | $ | 4,259 | $ | 3,540 | |||||||||||||
Repurchases of previously transferred loans (c) | $ | 321 | $ | 30 | |||||||||||||
Servicing fees (d) | $ | 352 | $ | 130 | |||||||||||||
Servicing advances recovered/(funded), net | $ | 45 | $ | 63 | |||||||||||||
Cash flows on mortgage-backed securities held (e) | $ | 4,362 | $ | 84 |
In millions | Residential Mortgages | Commercial Mortgages (a) | |||||||||||||||
December 31, 2020 | |||||||||||||||||
Total principal balance | $ | 43,351 | $ | 40,790 | |||||||||||||
Delinquent loans (b) | $ | 453 | $ | 136 | |||||||||||||
December 31, 2019 | |||||||||||||||||
Total principal balance | $ | 49,323 | $ | 42,414 | |||||||||||||
Delinquent loans (b) | $ | 492 | $ | 64 | |||||||||||||
Year ended December 31, 2020 | |||||||||||||||||
Net charge-offs (c) | $ | 17 | $ | 127 | |||||||||||||
Year ended December 31, 2019 | |||||||||||||||||
Net charge-offs (c) | $ | 40 | $ | 520 |
In millions | PNC Risk of Loss (a) |
Carrying Value of Assets
Owned by PNC |
Carrying Value of Liabilities
Owned by PNC |
||||||||||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||||||||
Mortgage-backed securitizations (b) | $ | 18,207 | $ | 18,207 | (c) | $ | 1 | ||||||||||||||||||||||
Tax credit investments and other | 3,121 | 2,894 | (d) | 1,198 | (e) | ||||||||||||||||||||||||
Total | $ | 21,328 | $ | 21,101 | $ | 1,199 | |||||||||||||||||||||||
December 31, 2019 | |||||||||||||||||||||||||||||
Mortgage-backed securitizations (b) | $ | 19,287 | $ | 19,287 | (c) | ||||||||||||||||||||||||
Tax credit investments and other | 3,131 | 3,028 | (d) | $ | 1,101 | (e) | |||||||||||||||||||||||
Total | $ | 22,418 | $ | 22,315 | $ | 1,101 |
In millions | Retail Banking | Corporate & Institutional Banking | Asset Management Group | Total | ||||||||||
December 31, 2020 | $ | 5,795 | $ | 3,374 | $ | 64 | $ | 9,233 | ||||||
December 31, 2019 | $ | 5,795 | $ | 3,374 | $ | 64 | $ | 9,233 | ||||||
December 31, 2018 | $ | 5,795 | $ | 3,359 | $ | 64 | $ | 9,218 |
In millions | 2020 | 2019 | 2018 | |||||||||||||||||
January 1 | $ | 649 | $ | 726 | $ | 668 | ||||||||||||||
Additions: | ||||||||||||||||||||
From loans sold with servicing retained | 100 | 53 | 57 | |||||||||||||||||
Purchases | 44 | 103 | 93 | |||||||||||||||||
Changes in fair value due to: | ||||||||||||||||||||
Time and payoffs (a) | (115) | (146) | (143) | |||||||||||||||||
Other (b) | (109) | (87) | 51 | |||||||||||||||||
December 31 | $ | 569 | $ | 649 | $ | 726 | ||||||||||||||
Related unpaid principal balance at December 31 | $ | 243,960 | $ | 216,992 | $ | 180,496 | ||||||||||||||
Servicing advances at December 31 | $ | 437 | $ | 157 | $ | 220 |
In millions | 2020 | 2019 | 2018 | |||||||||||||||||
January 1 | $ | 995 | $ | 1,257 | $ | 1,164 | ||||||||||||||
Additions: | ||||||||||||||||||||
From loans sold with servicing retained | 45 | 36 | 44 | |||||||||||||||||
Purchases | 208 | 114 | 129 | |||||||||||||||||
Changes in fair value due to: | ||||||||||||||||||||
Time and payoffs (a) | (198) | (162) | (170) | |||||||||||||||||
Other (b) | (377) | (250) | 90 | |||||||||||||||||
December 31 | $ | 673 | $ | 995 | $ | 1,257 | ||||||||||||||
Unpaid principal balance of loans serviced for others at December 31 | $ | 120,778 | $ | 120,464 | $ | 125,388 | ||||||||||||||
Servicing advances at December 31 | $ | 143 | $ | 111 | $ | 156 |
Dollars in millions |
December 31
2020 |
December 31
2019 |
||||||||||||
Fair value | $ | 569 | $ | 649 | ||||||||||
Weighted-average life (years) | 4.4 | 4.1 | ||||||||||||
Weighted-average constant prepayment rate | 4.87 | % | 4.56 | % | ||||||||||
Decline in fair value from 10% adverse change | $ | 9 | $ | 9 | ||||||||||
Decline in fair value from 20% adverse change | $ | 18 | $ | 17 | ||||||||||
Effective discount rate | 7.33 | % | 7.91 | % | ||||||||||
Decline in fair value from 10% adverse change | $ | 15 | $ | 17 | ||||||||||
Decline in fair value from 20% adverse change | $ | 31 | $ | 34 |
Dollars in millions |
December 31
2020 |
December 31
2019 |
||||||||||||
Fair value | $ | 673 | $ | 995 | ||||||||||
Weighted-average life (years) | 3.8 | 5.2 | ||||||||||||
Weighted-average constant prepayment rate | 21.13 | % | 13.51 | % | ||||||||||
Decline in fair value from 10% adverse change | $ | 41 | $ | 46 | ||||||||||
Decline in fair value from 20% adverse change | $ | 82 | $ | 89 | ||||||||||
Weighted-average option adjusted spread | 922 | bps | 769 | bps | ||||||||||
Decline in fair value from 10% adverse change | $ | 20 | $ | 27 | ||||||||||
Decline in fair value from 20% adverse change | $ | 38 | $ | 52 |
Year ended December 31 | |||||||||||
In millions | 2020 | 2019 | |||||||||
Sales-type and direct financing leases (a) | $ | 269 | $ | 295 | |||||||
Operating leases (b) | 95 | 117 | |||||||||
Lease income | $ | 364 | $ | 412 |
December 31 | |||||||||||
In millions | 2020 | 2019 | |||||||||
Lease receivables (a) | $ | 6,246 | $ | 7,353 | |||||||
Unguaranteed residual asset values | 957 | 741 | |||||||||
Unearned income | (789) | (939) | |||||||||
Equipment lease financing | $ | 6,414 | $ | 7,155 |
In millions | Operating Leases | Sales-type and Direct Financing Leases | ||||||
2021 | $ | 95 | $ | 1,467 | ||||
2022 | 75 | 1,315 | ||||||
2023 | 42 | 948 | ||||||
2024 | 35 | 806 | ||||||
2025 | 24 | 473 | ||||||
2026 and thereafter | 42 | 1,237 | ||||||
Total future minimum lease payments | $ | 313 | $ | 6,246 |
Year ended December 31 | ||||||||||||||
In millions | 2020 | 2019 | ||||||||||||
Operating lease cost (a) | $ | 358 | $ | 360 | ||||||||||
Operating cash flows | $ | 360 | $ | 353 |
December 31 | ||||||||||||||
In millions | 2020 | 2019 | ||||||||||||
Operating lease assets (a) | $ | 1,876 | $ | 1,982 | ||||||||||
Operating lease liabilities (b) | $ | 2,097 | $ | 2,170 |
December 31 | ||||||||||||||
2020 | 2019 | |||||||||||||
Weighted-average remaining lease term (years) | 8 | 9 | ||||||||||||
Weighted-average discount rate | 2.21 | % | 2.42 | % |
In millions | December 31, 2020 | |||||||
2021 | $ | 364 | ||||||
2022 | 340 | |||||||
2023 | 309 | |||||||
2024 | 260 | |||||||
2025 | 217 | |||||||
2026 and thereafter | 822 | |||||||
Total future lease payments | $ | 2,312 | ||||||
Less: Interest | 215 | |||||||
Present value of operating lease liabilities | $ | 2,097 |
In millions |
December 31
2020 |
December 31
2019 |
||||||||||||
Premises, equipment and leasehold improvements | $ | 14,843 | $ | 14,681 | ||||||||||
Accumulated depreciation and amortization | (7,156) | (6,953) | ||||||||||||
Net book value | $ | 7,687 | $ | 7,728 |
Year ended December 31
In millions |
2020 | 2019 | 2018 | |||||||||||||||||
Depreciation | $ | 791 | $ | 778 | $ | 754 | ||||||||||||||
Amortization | 115 | 109 | 78 | |||||||||||||||||
Total depreciation and amortization | $ | 906 | $ | 887 | $ | 832 |
In billions | |||||
2021 | $ | 17.5 | |||
2022 | $ | 1.1 | |||
2023 | $ | 0.4 | |||
2024 | $ | 0.3 | |||
2025 | $ | 0.2 | |||
2026 and thereafter | $ | 0.2 |
In billions | |||||
2021 | $ | 7.9 | |||
2022 | $ | 8.1 | |||
2023 | $ | 3.9 | |||
2024 | $ | 3.2 | |||
2025 | $ | 2.5 | |||
2026 and thereafter | $ | 11.6 |
Stated Rate | Maturity | Carrying Value | ||||||||||||||||||||||||
Dollars in millions | 2020 | 2020 | 2020 | 2019 | ||||||||||||||||||||||
Parent Company | ||||||||||||||||||||||||||
Senior debt |
2.20%-3.50%
|
2021-2030 | $ | 9,573 | $ | 8,843 | ||||||||||||||||||||
Subordinated debt | 3.90 | % | 2024 | 805 | $ | 777 | ||||||||||||||||||||
Junior subordinated debt | 0.80 | % | 2028 | 205 | $ | 205 | ||||||||||||||||||||
Subtotal | 10,583 | $ | 9,825 | |||||||||||||||||||||||
Bank | ||||||||||||||||||||||||||
FHLB (a) |
0.32%-0.59%
|
2021 | 3,500 | $ | 16,341 | |||||||||||||||||||||
Senior debt |
0.00%-3.50%
|
2021-2043 | 14,698 | $ | 20,167 | |||||||||||||||||||||
Subordinated debt |
2.70%-4.20%
|
2022-2029 | 5,393 | $ | 5,152 | |||||||||||||||||||||
Subtotal | 23,591 | $ | 41,660 | |||||||||||||||||||||||
Total | $ | 34,174 | $ | 51,485 |
In millions | December 31 2020 |
December 31
2019 |
|||||||||||||||
Commitments to extend credit | |||||||||||||||||
Total commercial lending | $ | 153,089 | $ | 131,762 | |||||||||||||
Home equity lines of credit | 16,626 | 16,803 | |||||||||||||||
Credit card | 31,019 | 30,862 | |||||||||||||||
Other | 7,087 | 6,162 | |||||||||||||||
Total commitments to extend credit | 207,821 | 185,589 | |||||||||||||||
Net outstanding standby letters of credit (a) | 9,053 | 9,843 | |||||||||||||||
Reinsurance agreements (b) | 1,393 | ||||||||||||||||
Standby bond purchase agreements (c) | 1,448 | 1,295 | |||||||||||||||
Other commitments (d) | 2,046 | 1,498 | |||||||||||||||
Total commitments to extend credit and other commitments | $ | 220,368 | $ | 199,618 |
Preferred Shares | |||||||||||||||||||||||
December 31
Shares in thousands |
Liquidation
value per share |
2020 | 2019 | ||||||||||||||||||||
Authorized | |||||||||||||||||||||||
$1 par value | 20,000 | 20,000 | |||||||||||||||||||||
Issued and outstanding | |||||||||||||||||||||||
Series B | $ | 40 | 1 | 1 | |||||||||||||||||||
Series O | $ | 100,000 | 10 | 10 | |||||||||||||||||||
Series P | $ | 100,000 | 15 | 15 | |||||||||||||||||||
Series Q (a) | $ | 100,000 | 5 | ||||||||||||||||||||
Series R | $ | 100,000 | 5 | 5 | |||||||||||||||||||
Series S | $ | 100,000 | 5 | 5 | |||||||||||||||||||
Total issued and outstanding | 36 | 41 |
Preferred Stock |
Issue
Date |
Number of
Depositary Shares Issued and Outstanding |
Fractional Interest in a share of preferred stock represented by each Depositary Share | Dividend Dates (a) | Annual Per Share Dividend Rate |
Optional
Redemption Date (b) |
|||||||||||||||||
Series B (c) | (c) | N/A | N/A |
Quarterly from March 10th
|
$ | 1.80 | None | ||||||||||||||||
Series O (d) | July 27, 2011 |
1 million
|
1/100th
|
Semi-annually beginning on February 1, 2012
until August 1, 2021 Quarterly beginning on November 1, 2021 |
6.75% until August 1, 2021
3 Mo. LIBOR plus 3.678% per annum beginning on August 1, 2021
|
August 1, 2021 | |||||||||||||||||
Series P (d) | April 24, 2012 |
60 million
|
1/4,000th
|
Quarterly beginning on August 1, 2012 |
6.125% until May 1, 2022
3 Mo. LIBOR plus 4.0675% per annum beginning on May 1, 2022
|
May 1, 2022 | |||||||||||||||||
Series R (d) | May 7, 2013 | 500,000 |
1/100th
|
Semi-annually beginning on December 1, 2013 until June 1, 2023
Quarterly beginning on September 1, 2023 |
4.85% until June 1, 2023
3 Mo. LIBOR plus 3.04% per annum beginning June 1, 2023
|
June 1, 2023 | |||||||||||||||||
Series S (d) | November 1, 2016 | 525,000 |
1/100th
|
Semi-annually beginning on May 1, 2017
until November 1, 2026 Quarterly beginning on February 1, 2027 |
5.00% until November 1, 2026
3 Mo. LIBOR plus 3.30% per annum beginning November 1, 2026
|
November 1, 2026 |
December 31 | 2020 | 2019 | 2018 | ||||||||
Common Stock | $ | 4.60 | $ | 4.20 | $ | 3.40 | |||||
Preferred Stock | |||||||||||
Series B | $ | 1.80 | $ | 1.80 | $ | 1.80 | |||||
Series O | $ | 6,750 | $ | 6,750 | $ | 6,750 | |||||
Series P | $ | 6,125 | $ | 6,125 | $ | 6,125 | |||||
Series Q | $ | 4,031 | $ | 5,375 | $ | 5,375 | |||||
Series R | $ | 4,850 | $ | 4,850 | $ | 4,850 | |||||
Series S | $ | 5,000 | $ | 5,000 | $ | 5,000 |
Year ended December 31 | |||||||||||||||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
In millions | Pre-tax | Tax effect | After-tax | Pre-tax | Tax effect | After-tax | Pre-tax | Tax effect | After-tax | ||||||||||||||||||||
Debt securities | |||||||||||||||||||||||||||||
Increase in net unrealized gains (losses) on securities | $ | 2,113 | $ | (485) | $ | 1,628 | $ | 1,529 | $ | (351) | $ | 1,178 | $ | (536) | $ | 123 | $ | (413) | |||||||||||
Less: Net realized gains (losses) reclassified to earnings (a) | 302 | (69) | 233 | 40 | (9) | 31 | 4 | (1) | 3 | ||||||||||||||||||||
Net change | 1,811 | (416) | 1,395 | 1,489 | (342) | 1,147 | (540) | 124 | (416) | ||||||||||||||||||||
Cash flow hedge derivatives | |||||||||||||||||||||||||||||
Increase in net unrealized gains (losses) on cash flow hedge derivatives | 918 | (211) | 707 | 334 | (77) | 257 | (118) | 27 | (91) | ||||||||||||||||||||
Less: Net realized gains (losses) reclassified to earnings (a) | 421 | (97) | 324 | 37 | (9) | 28 | 60 | (14) | 46 | ||||||||||||||||||||
Net change | 497 | (114) | 383 | 297 | (68) | 229 | (178) | 41 | (137) | ||||||||||||||||||||
Pension and other postretirement benefit plan adjustments | |||||||||||||||||||||||||||||
Net pension and other postretirement benefit plan activity and other reclassified to earnings (b) | 82 | (19) | 63 | 158 | (36) | 122 | 16 | (4) | 12 | ||||||||||||||||||||
Net change | 82 | (19) | 63 | 158 | (36) | 122 | 16 | (4) | 12 | ||||||||||||||||||||
Other | |||||||||||||||||||||||||||||
Net unrealized gains (losses) on other transactions | 10 | 5 | 15 | 17 | 5 | 22 | 18 | (17) | 1 | ||||||||||||||||||||
Net change | 10 | 5 | 15 | 17 | 5 | 22 | 18 | (17) | 1 | ||||||||||||||||||||
Total other comprehensive income (loss) from continuing
operations |
2,400 | (544) | 1,856 | 1,961 | (441) | 1,520 | (684) | 144 | (540) | ||||||||||||||||||||
Total other comprehensive income (loss) from discontinued
operations |
148 | (33) | 115 | 5 | (1) | 4 | (55) | 12 | (43) | ||||||||||||||||||||
Total other comprehensive income (loss) | $ | 2,548 | $ | (577) | $ | 1,971 | $ | 1,966 | $ | (442) | $ | 1,524 | $ | (739) | $ | 156 | $ | (583) |
In millions, after-tax | Debt securities | Cash flow hedge derivatives | Pension and other postretirement benefit plan adjustments | Other | Accumulated other Comprehensive Income from Continuing Operations | Accumulated other Comprehensive Income from Discontinued Operations | Total | |||||||||||||||||||||||||||||||||||||
Balance at December 31, 2017 | $ | 277 | $ | 151 | $ | (446) | $ | (68) | $ | (86) | $ | (62) | $ | (148) | ||||||||||||||||||||||||||||||
Cumulative effect of adopting ASU 2018-02 (a) | 59 | 33 | (96) | 24 | 20 | (14) | 6 | |||||||||||||||||||||||||||||||||||||
Balance at January 1, 2018 | 336 | 184 | (542) | (44) | (66) | (76) | (142) | |||||||||||||||||||||||||||||||||||||
Net activity | (416) | (137) | 12 | 1 | (540) | (43) | (583) | |||||||||||||||||||||||||||||||||||||
Balance at December 31, 2018 | $ | (80) | $ | 47 | $ | (530) | $ | (43) | $ | (606) | $ | (119) | $ | (725) | ||||||||||||||||||||||||||||||
Net activity | 1,147 | 229 | 122 | 22 | 1,520 | 4 | 1,524 | |||||||||||||||||||||||||||||||||||||
Balance at December 31, 2019 | $ | 1,067 | $ | 276 | $ | (408) | $ | (21) | $ | 914 | $ | (115) | $ | 799 | ||||||||||||||||||||||||||||||
Net activity | 1,395 | 383 | 63 | 15 | 1,856 | 115 | 1,971 | |||||||||||||||||||||||||||||||||||||
Balance at December 31, 2020 | $ | 2,462 | $ | 659 | $ | (345) | $ | (6) | $ | 2,770 | $ | 2,770 |
In millions, except per share data | 2020 | 2019 | 2018 | |||||||||||||||||
Basic | ||||||||||||||||||||
Net income from continuing operations | $ | 3,003 | $ | 4,591 | $ | 4,558 | ||||||||||||||
Less: | ||||||||||||||||||||
Net income attributable to noncontrolling interests | 41 | 49 | 45 | |||||||||||||||||
Preferred stock dividends | 229 | 236 | 236 | |||||||||||||||||
Preferred stock discount accretion and redemptions | 4 | 4 | 4 | |||||||||||||||||
Net income from continuing operations attributable to common shareholders | 2,729 | 4,302 | 4,273 | |||||||||||||||||
Less: Dividends and undistributed earnings allocated to nonvested restricted shares | 13 | 18 | 18 | |||||||||||||||||
Net income from continuing operations attributable to basic common shareholders | $ | 2,716 | $ | 4,284 | $ | 4,255 | ||||||||||||||
Net income from discontinued operations attributable to common shareholders | $ | 4,555 | $ | 827 | $ | 788 | ||||||||||||||
Less: Undistributed earnings allocated to nonvested restricted shares | 22 | 3 | 3 | |||||||||||||||||
Net income from discontinued operations attributable to basic common shareholders | $ | 4,533 | $ | 824 | $ | 785 | ||||||||||||||
Basic weighted-average common shares outstanding | 427 | 447 | 467 | |||||||||||||||||
Basic earnings per common share from continuing operations (a) | $ | 6.37 | $ | 9.59 | $ | 9.11 | ||||||||||||||
Basic earnings per common share from discontinued operations (a) | $ | 10.62 | $ | 1.84 | $ | 1.68 | ||||||||||||||
Basic earnings per common share (b) | $ | 16.99 | $ | 11.43 | $ | 10.79 | ||||||||||||||
Diluted | ||||||||||||||||||||
Net income from continuing operations attributable to diluted common shareholders | $ | 2,716 | $ | 4,284 | $ | 4,255 | ||||||||||||||
Net income from discontinued operations attributable to basic common shareholders | $ | 4,533 | $ | 824 | $ | 785 | ||||||||||||||
Less: Impact of earnings per share dilution from discontinued operations | 2 | 10 | 9 | |||||||||||||||||
Net income from discontinued operations attributable to diluted common shareholders | $ | 4,531 | $ | 814 | $ | 776 | ||||||||||||||
Basic weighted-average common shares outstanding | 427 | 447 | 467 | |||||||||||||||||
Dilutive potential common shares | 1 | 3 | ||||||||||||||||||
Diluted weighted-average common shares outstanding | 427 | 448 | 470 | |||||||||||||||||
Diluted earnings per common share from continuing operations (a) | $ | 6.36 | $ | 9.57 | $ | 9.06 | ||||||||||||||
Diluted earnings per common share from discontinued operations (a) | $ | 10.60 | $ | 1.82 | $ | 1.65 | ||||||||||||||
Diluted earnings per common share (b) | $ | 16.96 | $ | 11.39 | $ | 10.71 |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
In millions | Level 1 | Level 2 | Level 3 |
Total
Fair Value |
Level 1 | Level 2 | Level 3 |
Total
Fair Value |
|||||||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage loans held for sale | $ | 691 | $ | 163 | $ | 854 | $ | 817 | $ | 2 | $ | 819 | |||||||||||||||||||||||||||||||||||||||||
Commercial mortgage loans held for sale | 305 | 57 | 362 | 182 | 64 | 246 | |||||||||||||||||||||||||||||||||||||||||||||||
Securities available for sale | |||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 16,675 | 4,036 | 20,711 | $ | 16,236 | 280 | 16,516 | |||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | 48,911 | 48,911 | 36,321 | 36,321 | |||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency | 136 | 1,365 | 1,501 | 73 | 1,741 | 1,814 | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | 2,688 | 2,688 | 3,118 | 3,118 | |||||||||||||||||||||||||||||||||||||||||||||||||
Non-agency | 3,678 | 11 | 3,689 | 3,372 | 3,372 | ||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 4,951 | 199 | 5,150 | 4,874 | 240 | 5,114 | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 4,636 | 72 | 4,708 | 2,834 | 74 | 2,908 | |||||||||||||||||||||||||||||||||||||||||||||||
Total securities available for sale | 16,675 | 69,036 | 1,647 | 87,358 | 16,236 | 50,872 | 2,055 | 69,163 | |||||||||||||||||||||||||||||||||||||||||||||
Loans | 718 | 647 | 1,365 | 442 | 300 | 742 | |||||||||||||||||||||||||||||||||||||||||||||||
Equity investments (a) | 1,070 | 1,263 | 2,629 | 855 | 1,276 | 2,421 | |||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage servicing rights | 673 | 673 | 995 | 995 | |||||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage servicing rights | 569 | 569 | 649 | 649 | |||||||||||||||||||||||||||||||||||||||||||||||||
Trading securities (b) | 548 | 1,690 | 2,238 | 433 | 2,787 | 3,220 | |||||||||||||||||||||||||||||||||||||||||||||||
Financial derivatives (b) (c) | 6,415 | 118 | 6,533 | 3,448 | 54 | 3,502 | |||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 373 | 81 | 454 | 339 | 131 | 470 | |||||||||||||||||||||||||||||||||||||||||||||||
Total assets (d) | $ | 18,666 | $ | 78,936 | $ | 5,137 | $ | 103,035 | $ | 17,863 | $ | 58,679 | $ | 5,395 | $ | 82,227 | |||||||||||||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other borrowed funds | $ | 661 | $ | 44 | $ | 2 | $ | 707 | $ | 385 | $ | 126 | $ | 7 | $ | 518 | |||||||||||||||||||||||||||||||||||||
Financial derivatives (c) (e) | 2,483 | 273 | 2,756 | 1,819 | 200 | 2,019 | |||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 43 | 43 | 137 | 137 | |||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities (f) | $ | 661 | $ | 2,527 | $ | 318 | $ | 3,506 | $ | 385 | $ | 1,945 | $ | 344 | $ | 2,674 |
Total realized / unrealized
gains or losses for the period (a) |
Unrealized gains / losses on assets and liabilities held on Consolidated Balance Sheet at Dec. 31, 2020 (a) (c) | ||||||||||||||||||||||||||||||||||||||||||||||
Level 3 Instruments Only
In millions |
Fair
Value Dec. 31, 2019 |
Included in
Earnings |
Included
in Other comprehensive income (b) |
Purchases | Sales | Issuances | Settlements |
Transfers
into Level 3 |
Transfers
out of Level 3 |
Fair Value Dec. 31, 2020 | |||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage loans
held for sale |
$ | 2 | $ | (1) | $ | 124 | $ | (13) | $ | (21) | $ | 93 | $ | (21) | (e) | $ | 163 | $ | (1) | ||||||||||||||||||||||||||||
Commercial mortgage
loans held for sale |
64 | (2) | (5) | 57 | (2) | ||||||||||||||||||||||||||||||||||||||||||
Securities available for sale | |||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-
backed non-agency |
1,741 | 53 | $ | (75) | (354) | 1,365 | |||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-
backed non-agency |
(8) | 19 | 11 | ||||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 240 | 6 | (7) | (40) | 199 | ||||||||||||||||||||||||||||||||||||||||||
Other | 74 | 1 | (4) | 4 | (3) | 72 | |||||||||||||||||||||||||||||||||||||||||
Total securities
available for sale |
2,055 | 60 | (94) | 4 | (397) | 19 | 1,647 | ||||||||||||||||||||||||||||||||||||||||
Loans | 300 | 28 | 161 | (39) | 280 | (d) | (83) | (e) | 647 | 28 | |||||||||||||||||||||||||||||||||||||
Equity investments | 1,276 | (63) | 229 | (179) | 1,263 | (69) | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage
servicing rights |
995 | (377) | 208 | $ | 45 | (198) | 673 | (377) | |||||||||||||||||||||||||||||||||||||||
Commercial mortgage
servicing rights |
649 | (109) | 44 | 100 | (115) | 569 | (109) | ||||||||||||||||||||||||||||||||||||||||
Financial derivatives | 54 | 209 | 11 | (156) | 118 | 229 | |||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 5,395 | $ | (255) | $ | (94) | $ | 781 | $ | (231) | $ | 145 | $ | (612) | $ | 112 | $ | (104) | $ | 5,137 | $ | (301) | |||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||||||||
Other borrowed funds | $ | 7 | $ | 28 | $ | (33) | $ | 2 | |||||||||||||||||||||||||||||||||||||||
Financial derivatives | 200 | $ | 189 | $ | 4 | (120) | 273 | $ | 186 | ||||||||||||||||||||||||||||||||||||||
Other liabilities | 137 | 17 | 96 | (207) | 43 | 1 | |||||||||||||||||||||||||||||||||||||||||
Total liabilities | $ | 344 | $ | 206 | $ | 4 | $ | 124 | $ | (360) | $ | 318 | $ | 187 | |||||||||||||||||||||||||||||||||
Net gains (losses) | $ | (461) | (f) | $ | (488) | (g) |
Total realized / unrealized
gains or losses for the period (a) |
Unrealized gains / losses on assets and liabilities held on Consolidated Balance Sheet at December 31, 2019 (a) (c) | ||||||||||||||||||||||||||||||||||||||||||||||
Level 3 Instruments Only
In millions |
Fair Value Dec. 31, 2018 |
Included in
Earnings |
Included
in Other comprehensive income (b) |
Purchases | Sales | Issuances | Settlements |
Transfers
into Level 3 |
Transfers
out of Level 3 |
Fair Value Dec. 31, 2019 | |||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage loans
held for sale |
$ | 2 | $ | 5 | $ | (2) | $ | (2) | $ | 16 | $ | (17) | (e) | $ | 2 | ||||||||||||||||||||||||||||||||
Commercial mortgage
loans held for sale |
87 | $ | 1 | (24) | 64 | $ | 1 | ||||||||||||||||||||||||||||||||||||||||
Securities available for sale | |||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-
backed non-agency |
2,128 | 73 | $ | 15 | (475) | 1,741 | |||||||||||||||||||||||||||||||||||||||||
Asset-backed | 274 | 6 | 3 | (43) | 240 | ||||||||||||||||||||||||||||||||||||||||||
Other | 84 | 1 | (6) | 9 | (3) | (11) | 74 | ||||||||||||||||||||||||||||||||||||||||
Total securities
available for sale |
2,486 | 80 | 12 | 9 | (3) | (529) | 2,055 | ||||||||||||||||||||||||||||||||||||||||
Loans | 272 | 13 | 142 | (42) | (54) | (31) | (e) | 300 | 7 | ||||||||||||||||||||||||||||||||||||||
Equity investments | 1,255 | 262 | 374 | (615) | 1,276 | 57 | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage
servicing rights |
1,257 | (250) | 114 | $ | 36 | (162) | 995 | (235) | |||||||||||||||||||||||||||||||||||||||
Commercial mortgage
servicing rights |
726 | (87) | 103 | 53 | (146) | 649 | (87) | ||||||||||||||||||||||||||||||||||||||||
Trading securities | 2 | (2) | |||||||||||||||||||||||||||||||||||||||||||||
Financial derivatives | 25 | 70 | 22 | (63) | 54 | 94 | |||||||||||||||||||||||||||||||||||||||||
Other assets | 45 | (45) | |||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 6,157 | $ | 89 | $ | 12 | $ | 769 | $ | (662) | $ | 89 | $ | (1,027) | $ | 16 | $ | (48) | $ | 5,395 | $ | (163) | |||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||||||||||||||||||
Other borrowed funds | $ | 7 | $ | 52 | $ | (52) | $ | 7 | |||||||||||||||||||||||||||||||||||||||
Financial derivatives | 268 | $ | 101 | $ | 10 | (179) | 200 | $ | 112 | ||||||||||||||||||||||||||||||||||||||
Other liabilities | 58 | 68 | $ | 16 | 2 | 81 | (88) | 137 | 49 | ||||||||||||||||||||||||||||||||||||||
Total liabilities | $ | 333 | $ | 169 | $ | 16 | $ | 12 | $ | 133 | $ | (319) | $ | 344 | $ | 161 | |||||||||||||||||||||||||||||||
Net gains (losses) | $ | (80) | (f) | $ | (324) | (g) |
Level 3 Instruments Only
Dollars in millions |
Fair Value | Valuation Techniques | Unobservable Inputs | Range (Weighted Average) (a) | ||||||||||||||||||||||
Commercial mortgage loans held for sale | $ | 57 | Discounted cash flow | Spread over the benchmark curve (b) |
630bps - 5,275bps (3,406bps)
|
|||||||||||||||||||||
Residential mortgage-backed
non-agency securities |
1,365 | Priced by a third-party vendor using a discounted cash flow pricing model | Constant prepayment rate |
1.0% - 37.6% (8.6%)
|
||||||||||||||||||||||
Constant default rate |
0.0% - 12.2% (4.7%)
|
|||||||||||||||||||||||||
Loss severity |
25.0% - 95.7% (48.8%)
|
|||||||||||||||||||||||||
Spread over the benchmark curve (b) |
242bps weighted-average
|
|||||||||||||||||||||||||
Asset-backed securities | 199 | Priced by a third-party vendor using a discounted cash flow pricing model | Constant prepayment rate |
1.0% - 22.0% (7.4%)
|
||||||||||||||||||||||
Constant default rate |
1.0% - 6.0% (3.3%)
|
|||||||||||||||||||||||||
Loss severity |
30.0% - 100.0% (58.1%)
|
|||||||||||||||||||||||||
Spread over the benchmark curve (b) |
291bps weighted-average
|
|||||||||||||||||||||||||
Loans - Residential real estate | 434 | Consensus pricing (c) | Cumulative default rate |
3.6% - 100.0% (82.1%)
|
||||||||||||||||||||||
Loss severity |
0.0% - 100.0% (11.2%)
|
|||||||||||||||||||||||||
Discount rate |
4.8% - 6.8% (5.1%)
|
|||||||||||||||||||||||||
132 | Discounted cash flow | Loss severity |
8.0% weighted-average
|
|||||||||||||||||||||||
Discount rate |
3.2% weighted-average
|
|||||||||||||||||||||||||
Loans - Home equity | 21 | Consensus pricing (c) | Cumulative default rate |
3.6% - 100.0% (88.5%)
|
||||||||||||||||||||||
Loss severity |
0.0% - 98.4% (33.3%)
|
|||||||||||||||||||||||||
Discount rate |
4.8% - 6.8% (6.3%)
|
|||||||||||||||||||||||||
60 | Consensus pricing (c) | Credit and liquidity discount |
17.5% - 97.0% (57.7%)
|
|||||||||||||||||||||||
Equity investments | 1,263 | Multiple of adjusted earnings | Multiple of earnings |
5.0x - 15.9x (8.7x)
|
||||||||||||||||||||||
Residential mortgage servicing rights | 673 | Discounted cash flow | Constant prepayment rate |
0.0% - 77.5% (21.1%)
|
||||||||||||||||||||||
Spread over the benchmark curve (b) |
325bps - 2,783bps (922bps)
|
|||||||||||||||||||||||||
Commercial mortgage servicing rights | 569 | Discounted cash flow | Constant prepayment rate |
4.0% - 16.1% (4.9%)
|
||||||||||||||||||||||
Discount rate |
4.7% - 7.8% (7.3%)
|
|||||||||||||||||||||||||
Financial derivatives - Swaps related to
sales of certain Visa Class B common shares |
(252) | Discounted cash flow | Estimated conversion factor of Visa Class B shares into Class A shares |
162.3% weighted-average
|
||||||||||||||||||||||
Estimated annual growth rate of Visa Class A share price |
16.0%
|
|||||||||||||||||||||||||
Estimated length of litigation resolution date |
Q2 2022
|
|||||||||||||||||||||||||
Insignificant Level 3 assets, net of
liabilities (d) |
298 | |||||||||||||||||||||||||
Total Level 3 assets, net of liabilities (e) | $ | 4,819 |
Level 3 Instruments Only
Dollars in millions |
Fair Value | Valuation Techniques | Unobservable Inputs | Range (Weighted Average) (a) | ||||||||||
Commercial mortgage loans held for sale | $ | 64 | Discounted cash flow | Spread over the benchmark curve (b) |
530bps - 2,935bps (1,889bps)
|
|||||||||
Residential mortgage-backed
non-agency securities |
1,741 | Priced by a third-party vendor using a discounted cash flow pricing model | Constant prepayment rate |
1.0% - 36.2% (9.9%)
|
||||||||||
Constant default rate |
0.0% - 14.1% (4.3%)
|
|||||||||||||
Loss severity |
26.6% - 95.7% (51.9%)
|
|||||||||||||
Spread over the benchmark curve (b) |
188bps weighted-average
|
|||||||||||||
Asset-backed securities | 240 | Priced by a third-party vendor using a discounted cash flow pricing model | Constant prepayment rate |
1.0% - 22.0% (7.5%)
|
||||||||||
Constant default rate |
1.0% - 7.2% (3.4%)
|
|||||||||||||
Loss severity |
30.0% - 100.0% (57.6%)
|
|||||||||||||
Spread over the benchmark curve (b) |
215bps weighted-average
|
|||||||||||||
Loans | 184 | Consensus pricing (c) | Cumulative default rate |
3.6% - 100.0% (76.7%)
|
||||||||||
Loss severity |
0.0% - 100.0% (14.5%)
|
|||||||||||||
Discount rate |
5.0% - 8.0% (5.2%)
|
|||||||||||||
72 | Discounted cash flow | Loss severity |
8.0% weighted-average
|
|||||||||||
Discount rate |
4.8% weighted-average
|
|||||||||||||
44 | Consensus pricing (c) | Credit and liquidity discount |
0.0% - 99.0% (63.4%)
|
|||||||||||
Equity investments | 1,276 | Multiple of adjusted earnings | Multiple of earnings |
5.0x - 16.5x (8.5x)
|
||||||||||
Residential mortgage servicing rights | 995 | Discounted cash flow | Constant prepayment rate |
0.0% - 53.8% (13.5%)
|
||||||||||
Spread over the benchmark curve (b) |
320bps - 1,435bps (769bps)
|
|||||||||||||
Commercial mortgage servicing rights | 649 | Discounted cash flow | Constant prepayment rate |
3.5% - 18.1% (4.6%)
|
||||||||||
Discount rate |
5.6% - 8.1% (7.9%)
|
|||||||||||||
Financial derivatives - Swaps related to
sales of certain Visa Class B common shares |
(176) | Discounted cash flow | Estimated conversion factor of Visa Class B shares into Class A shares |
162.3% weighted-average
|
||||||||||
Estimated annual growth rate of Visa Class A share price |
16.0%
|
|||||||||||||
Estimated length of litigation resolution date |
Q1 2021
|
|||||||||||||
Insignificant Level 3 assets, net of
liabilities (d) |
(38) | |||||||||||||
Total Level 3 assets, net of liabilities (e) | $ | 5,051 |
Year ended December 31
In millions |
Fair Value | Gains (Losses) | ||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2018 | ||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Nonaccrual loans | $ | 332 | $ | 136 | $ | (111) | $ | (76) | $ | (28) | ||||||||||||||||||||||
OREO and foreclosed assets | 18 | 57 | (2) | (5) | (7) | |||||||||||||||||||||||||||
Long-lived assets | 20 | 5 | (27) | (3) | (4) | |||||||||||||||||||||||||||
Total assets | $ | 370 | $ | 198 | $ | (140) | $ | (84) | $ | (39) |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||
In millions | Fair Value | Aggregate Unpaid Principal Balance | Difference | Fair Value | Aggregate Unpaid Principal Balance | Difference | |||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Residential mortgage loans held for sale | |||||||||||||||||||||||||||||
Accruing loans less than 90 days past due | $ | 831 | $ | 793 | $ | 38 | $ | 813 | $ | 792 | $ | 21 | |||||||||||||||||
Accruing loans 90 days or more past due | 4 | 4 | 2 | 2 | |||||||||||||||||||||||||
Nonaccrual loans | 20 | 24 | (4) | 4 | 4 | ||||||||||||||||||||||||
Total | $ | 855 | $ | 821 | $ | 34 | $ | 819 | $ | 798 | $ | 21 | |||||||||||||||||
Commercial mortgage loans held for sale (a) | |||||||||||||||||||||||||||||
Accruing loans less than 90 days past due | $ | 357 | $ | 370 | $ | (13) | $ | 245 | $ | 263 | $ | (18) | |||||||||||||||||
Nonaccrual loans | 5 | 6 | (1) | 1 | 2 | (1) | |||||||||||||||||||||||
Total | $ | 362 | $ | 376 | $ | (14) | $ | 246 | $ | 265 | $ | (19) | |||||||||||||||||
Loans | |||||||||||||||||||||||||||||
Accruing loans less than 90 days past due | $ | 519 | $ | 530 | $ | (11) | $ | 291 | $ | 304 | $ | (13) | |||||||||||||||||
Accruing loans 90 days or more past due | 283 | 295 | (12) | 285 | 296 | (11) | |||||||||||||||||||||||
Nonaccrual loans | 563 | 820 | (257) | 166 | 265 | (99) | |||||||||||||||||||||||
Total | $ | 1,365 | $ | 1,645 | $ | (280) | $ | 742 | $ | 865 | $ | (123) | |||||||||||||||||
Other assets | $ | 81 | $ | 69 | $ | 12 | $ | 132 | $ | 125 | $ | 7 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Other borrowed funds | $ | 32 | $ | 33 | $ | (1) | $ | 63 | $ | 64 | $ | (1) |
Year ended December 31
In millions |
Gains (Losses) | |||||||||||||||||||
2020 | 2019 | 2018 | ||||||||||||||||||
Assets | ||||||||||||||||||||
Residential mortgage loans held for sale | $ | 198 | $ | 84 | $ | 38 | ||||||||||||||
Commercial mortgage loans held for sale | $ | 128 | $ | 61 | $ | 67 | ||||||||||||||
Loans | $ | 44 | $ | 23 | $ | 24 | ||||||||||||||
Other assets | $ | (3) | $ | 40 | $ | (40) |
In millions |
Carrying
Amount |
Fair Value | ||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Cash and due from banks | $ | 7,017 | $ | 7,017 | $ | 7,017 | ||||||||||||||||||||||||||
Interest-earning deposits with banks | 85,173 | 85,173 | $ | 85,173 | ||||||||||||||||||||||||||||
Securities held to maturity | 1,445 | 1,604 | 920 | 489 | $ | 195 | ||||||||||||||||||||||||||
Net loans (excludes leases) | 228,788 | 233,688 | 233,688 | |||||||||||||||||||||||||||||
Other assets | 3,601 | 3,600 | 3,559 | 41 | ||||||||||||||||||||||||||||
Total assets | $ | 326,024 | $ | 331,082 | $ | 7,937 | $ | 89,221 | $ | 233,924 | ||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||
Time deposits | $ | 19,692 | $ | 19,662 | $ | 19,662 | ||||||||||||||||||||||||||
Borrowed funds | 36,488 | 37,192 | 35,571 | $ | 1,621 | |||||||||||||||||||||||||||
Unfunded lending related commitments | 584 | 584 | 584 | |||||||||||||||||||||||||||||
Other liabilities | 413 | 413 | 413 | |||||||||||||||||||||||||||||
Total liabilities | $ | 57,177 | $ | 57,851 | $ | 55,646 | $ | 2,205 | ||||||||||||||||||||||||
December 31, 2019 | ||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Cash and due from banks | $ | 5,061 | $ | 5,061 | $ | 5,061 | ||||||||||||||||||||||||||
Interest-earning deposits with banks | 23,413 | 23,413 | $ | 23,413 | ||||||||||||||||||||||||||||
Securities held to maturity | 17,661 | 18,044 | 832 | 17,039 | $ | 173 | ||||||||||||||||||||||||||
Net loans (excludes leases) | 229,205 | 232,670 | 232,670 | |||||||||||||||||||||||||||||
Other assets | 5,700 | 5,700 | 5,692 | 8 | ||||||||||||||||||||||||||||
Total assets | $ | 281,040 | $ | 284,888 | $ | 5,893 | $ | 46,144 | $ | 232,851 | ||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||
Time deposits | $ | 21,663 | $ | 21,425 | $ | 21,425 | ||||||||||||||||||||||||||
Borrowed funds | 59,745 | 60,399 | 58,622 | $ | 1,777 | |||||||||||||||||||||||||||
Unfunded lending related commitments | 318 | 318 | 318 | |||||||||||||||||||||||||||||
Other liabilities | 506 | 506 | 506 | |||||||||||||||||||||||||||||
Total liabilities | $ | 82,232 | $ | 82,648 | $ | 80,553 | $ | 2,095 |
December 31, 2020 | December 31, 2019 | |||||||||||||||||||
In millions | Notional /Contract Amount |
Asset Fair
Value (b) |
Liability Fair
Value (c) |
Notional /Contract Amount |
Asset Fair
Value (b) |
Liability Fair
Value (c) |
||||||||||||||
Derivatives used for hedging | ||||||||||||||||||||
Interest rate contracts (d): | ||||||||||||||||||||
Fair value hedges | $ | 24,153 | $ | 30,663 | ||||||||||||||||
Cash flow hedges | 22,875 | $ | 14 | 23,642 | $ | 6 | ||||||||||||||
Foreign exchange contracts: | ||||||||||||||||||||
Net investment hedges | 1,075 | $ | 22 | 1,102 | $ | 6 | ||||||||||||||
Total derivatives designated for hedging | $ | 48,103 | $ | 14 | $ | 22 | $ | 55,407 | $ | 6 | $ | 6 | ||||||||
Derivatives not used for hedging | ||||||||||||||||||||
Derivatives used for mortgage banking activities (e): | ||||||||||||||||||||
Interest rate contracts: | ||||||||||||||||||||
Swaps | $ | 50,511 | $ | 52,007 | $ | 1 | ||||||||||||||
Futures (f) | 2,841 | 3,487 | ||||||||||||||||||
Mortgage-backed commitments | 11,288 | $ | 147 | $ | 77 | 7,738 | 60 | $ | 44 | |||||||||||
Other | 1,831 | 11 | 2 | 3,134 | 32 | 23 | ||||||||||||||
Total interest rate contracts | 66,471 | 158 | 79 | 66,366 | 93 | 67 | ||||||||||||||
Derivatives used for customer-related activities: | ||||||||||||||||||||
Interest rate contracts: | ||||||||||||||||||||
Swaps | 280,125 | 5,475 | 1,601 | 249,075 | 2,769 | 1,187 | ||||||||||||||
Futures (f) | 1,235 | 703 | ||||||||||||||||||
Mortgage-backed commitments | 4,178 | 11 | 14 | 3,721 | 2 | 6 | ||||||||||||||
Other | 20,125 | 193 | 88 | 21,379 | 113 | 33 | ||||||||||||||
Total interest rate contracts | 305,663 | 5,679 | 1,703 | 274,878 | 2,884 | 1,226 | ||||||||||||||
Commodity contracts: | ||||||||||||||||||||
Swaps | 6,149 | 350 | 323 | 5,204 | 234 | 229 | ||||||||||||||
Other | 2,770 | 61 | 61 | 4,203 | 72 | 72 | ||||||||||||||
Total commodity contracts | 8,919 | 411 | 384 | 9,407 | 306 | 301 | ||||||||||||||
Foreign exchange contracts and other | 26,620 | 267 | 243 | 27,120 | 204 | 162 | ||||||||||||||
Total derivatives for customer-related activities | 341,202 | 6,357 | 2,330 | 311,405 | 3,394 | 1,689 | ||||||||||||||
Derivatives used for other risk management activities: | ||||||||||||||||||||
Foreign exchange contracts and other | 10,931 | 4 | 325 | 10,201 | 9 | 257 | ||||||||||||||
Total derivatives not designated for hedging | $ | 418,604 | $ | 6,519 | $ | 2,734 | $ | 387,972 | $ | 3,496 | $ | 2,013 | ||||||||
Total gross derivatives | $ | 466,707 | $ | 6,533 | $ | 2,756 | $ | 443,379 | $ | 3,502 | $ | 2,019 | ||||||||
Less: Impact of legally enforceable master netting agreements | 720 | 720 | 690 | 690 | ||||||||||||||||
Less: Cash collateral received/paid | 1,434 | 1,452 | 616 | 790 | ||||||||||||||||
Total derivatives | $ | 4,379 | $ | 584 | $ | 2,196 | $ | 539 |
Location and Amount of Gains (Losses) Recognized in Income | ||||||||||||||
Interest Income | Interest Expense | Noninterest Income | ||||||||||||
In millions | Loans | Investment Securities | Borrowed Funds | Other | ||||||||||
Year ended December 31, 2020 | ||||||||||||||
Total amounts on the Consolidated Income Statement | $ | 8,927 | $ | 2,041 | $ | 718 | $ | 1,364 | ||||||
Gains (losses) on fair value hedges recognized on: | ||||||||||||||
Hedged items (c) | $ | 208 | $ | (1,059) | ||||||||||
Derivatives | $ | (202) | $ | 959 | ||||||||||
Amounts related to interest settlements on derivatives | $ | (9) | $ | 480 | ||||||||||
Gains (losses) on cash flow hedges (d): | ||||||||||||||
Amount of derivative gains (losses) reclassified from AOCI | $ | 375 | $ | 40 | $ | 6 | ||||||||
Year ended December 31, 2019 | ||||||||||||||
Total amounts on the Consolidated Income Statement | $ | 10,525 | $ | 2,426 | $ | 1,811 | $ | 1,473 | ||||||
Gains (losses) on fair value hedges recognized on: | ||||||||||||||
Hedged items (c) | $ | 187 | $ | (808) | ||||||||||
Derivatives | $ | (178) | $ | 659 | ||||||||||
Amounts related to interest settlements on derivatives | $ | 13 | $ | 79 | ||||||||||
Gains (losses) on cash flow hedges (d): | ||||||||||||||
Amount of derivative gains (losses) reclassified from AOCI | $ | 9 | $ | 9 | $ | 19 | ||||||||
Year ended December 31, 2018 | ||||||||||||||
Total amounts on the Consolidated Income Statement | $ | 9,580 | $ | 2,261 | $ | 1,632 | $ | 1,205 | ||||||
Gains (losses) on fair value hedges recognized on: | ||||||||||||||
Hedged items (c) | $ | (53) | $ | 151 | ||||||||||
Derivatives | $ | 60 | $ | (262) | ||||||||||
Amounts related to interest settlements on derivatives | $ | 3 | $ | 80 | ||||||||||
Gains (losses) on cash flow hedges (d): | ||||||||||||||
Amount of derivative gains (losses) reclassified from AOCI | $ | 41 | $ | 11 | $ | 8 |
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||
In millions | Carrying Value of the Hedged Items | Cumulative Fair Value Hedge Adjustment included in the Carrying Value of Hedged Items (a) | Carrying Value of the Hedged Items | Cumulative Fair Value Hedge Adjustment included in the Carrying Value of Hedged Items (a) | |||||||||||||||||||
Investment securities - available for sale (b) | $ | 2,785 | $ | 30 | $ | 5,666 | $ | 59 | |||||||||||||||
Borrowed funds | $ | 25,797 | $ | 1,611 | $ | 28,616 | $ | 548 |
Year ended December 31 | ||||||||||||||||||||
In millions | 2020 | 2019 | 2018 | |||||||||||||||||
Derivatives used for mortgage banking activities: | ||||||||||||||||||||
Interest rate contracts (a) | $ | 792 | $ | 405 | $ | (56) | ||||||||||||||
Derivatives used for customer-related activities: | ||||||||||||||||||||
Interest rate contracts | 210 | 125 | 99 | |||||||||||||||||
Foreign exchange contracts and other | 156 | 114 | 104 | |||||||||||||||||
Gains (losses) from customer-related activities (b) | 366 | 239 | 203 | |||||||||||||||||
Derivatives used for other risk management activities: | ||||||||||||||||||||
Foreign exchange contracts and other (b) | (338) | (137) | 268 | |||||||||||||||||
Total gains (losses) from derivatives not designated as hedging instruments | $ | 820 | $ | 507 | $ | 415 |
In millions | Gross Fair Value | Amounts Offset on the Consolidated Balance Sheet | Net Fair Value | Securities Collateral Held /Pledged Under Master Netting Agreements | Net Amounts | ||||||||||||||||||||||||||||||
Fair Value Offset Amount | Cash Collateral | ||||||||||||||||||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||||||||||||||
Derivative assets | |||||||||||||||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||||||||||||||
Over-the-counter cleared | $ | 48 | $ | 48 | $ | 48 | |||||||||||||||||||||||||||||
Over-the-counter | 5,803 | $ | 430 | $ | 1,426 | 3,947 | $ | 531 | 3,416 | ||||||||||||||||||||||||||
Commodity contracts | 411 | 209 | 4 | 198 | 198 | ||||||||||||||||||||||||||||||
Foreign exchange and other contracts | 271 | 81 | 4 | 186 | 1 | 185 | |||||||||||||||||||||||||||||
Total derivative assets | $ | 6,533 | $ | 720 | $ | 1,434 | $ | 4,379 | (a) | $ | 532 | $ | 3,847 | ||||||||||||||||||||||
Derivative liabilities | |||||||||||||||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||||||||||||||
Over-the-counter cleared | $ | 42 | $ | 42 | $ | 42 | |||||||||||||||||||||||||||||
Over-the-counter | 1,740 | $ | 462 | $ | 1,179 | 99 | 99 | ||||||||||||||||||||||||||||
Commodity contracts | 384 | 182 | 103 | 99 | 99 | ||||||||||||||||||||||||||||||
Foreign exchange and other contracts | 590 | 76 | 170 | 344 | 344 | ||||||||||||||||||||||||||||||
Total derivative liabilities | $ | 2,756 | $ | 720 | $ | 1,452 | $ | 584 | (b) | $ | 584 | ||||||||||||||||||||||||
December 31, 2019 | |||||||||||||||||||||||||||||||||||
Derivative assets | |||||||||||||||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||||||||||||||
Over-the-counter cleared | $ | 14 | $ | 14 | $ | 14 | |||||||||||||||||||||||||||||
Over-the-counter | 2,969 | $ | 365 | $ | 593 | 2,011 | $ | 215 | 1,796 | ||||||||||||||||||||||||||
Commodity contracts | 306 | 198 | 18 | 90 | 90 | ||||||||||||||||||||||||||||||
Foreign exchange and other contracts | 213 | 127 | 5 | 81 | 81 | ||||||||||||||||||||||||||||||
Total derivative assets | $ | 3,502 | $ | 690 | $ | 616 | $ | 2,196 | (a) | $ | 215 | $ | 1,981 | ||||||||||||||||||||||
Derivative liabilities | |||||||||||||||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||||||||||||||
Over-the-counter cleared | $ | 14 | $ | 14 | $ | 14 | |||||||||||||||||||||||||||||
Over-the-counter | 1,279 | $ | 475 | $ | 692 | 112 | 112 | ||||||||||||||||||||||||||||
Commodity contracts | 301 | 152 | 17 | 132 | 132 | ||||||||||||||||||||||||||||||
Foreign exchange and other contracts | 425 | 63 | 81 | 281 | 281 | ||||||||||||||||||||||||||||||
Total derivative liabilities | $ | 2,019 | $ | 690 | $ | 790 | $ | 539 | (b) | $ | 539 |
Qualified
Pension (a) |
Nonqualified
Pension |
Postretirement
Benefits |
|||||||||||||||||||||||||||||||||
In millions | 2020 | 2019 | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||
Accumulated benefit obligation at December 31 | $ | 5,117 | $ | 4,740 | $ | 258 | $ | 259 | |||||||||||||||||||||||||||
Projected benefit obligation at January 1 | $ | 4,887 | $ | 4,355 | $ | 265 | $ | 258 | $ | 333 | $ | 322 | |||||||||||||||||||||||
Service cost | 122 | 115 | 3 | 3 | 4 | 4 | |||||||||||||||||||||||||||||
Interest cost | 160 | 186 | 8 | 10 | 11 | 13 | |||||||||||||||||||||||||||||
Amendments | 21 | ||||||||||||||||||||||||||||||||||
Actuarial (gains)/losses and changes in assumptions | 306 | 498 | 17 | 25 | 11 | 18 | |||||||||||||||||||||||||||||
Participant contributions | 3 | 3 | |||||||||||||||||||||||||||||||||
Benefits paid | (301) | (288) | (30) | (31) | (25) | (27) | |||||||||||||||||||||||||||||
Projected benefit obligation at December 31 | $ | 5,174 | $ | 4,887 | $ | 263 | $ | 265 | $ | 337 | $ | 333 | |||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 5,654 | $ | 4,963 | $ | 247 | $ | 232 | |||||||||||||||||||||||||||
Actual return on plan assets | 720 | 979 | 14 | 15 | |||||||||||||||||||||||||||||||
Employer contribution | $ | 30 | $ | 31 | 23 | 24 | |||||||||||||||||||||||||||||
Participant contributions | 3 | 3 | |||||||||||||||||||||||||||||||||
Benefits paid | (301) | (288) | (30) | (31) | (25) | (27) | |||||||||||||||||||||||||||||
Fair value of plan assets at December 31 | $ | 6,073 | $ | 5,654 | $ | 262 | $ | 247 | |||||||||||||||||||||||||||
Funded status | $ | 899 | $ | 767 | $ | (263) | $ | (265) | $ | (75) | $ | (86) | |||||||||||||||||||||||
Amounts recognized on the consolidated balance sheet | |||||||||||||||||||||||||||||||||||
Noncurrent asset | $ | 899 | $ | 767 | |||||||||||||||||||||||||||||||
Current liability | $ | (25) | $ | (26) | $ | (2) | $ | (2) | |||||||||||||||||||||||||||
Noncurrent liability | (238) | (239) | (73) | (84) | |||||||||||||||||||||||||||||||
Net amount recognized on the consolidated balance sheet | $ | 899 | $ | 767 | $ | (263) | $ | (265) | $ | (75) | $ | (86) | |||||||||||||||||||||||
Amounts recognized in AOCI consist of: | |||||||||||||||||||||||||||||||||||
Prior service cost (credit) | $ | 25 | $ | 29 | $ | 2 | $ | 2 | |||||||||||||||||||||||||||
Net actuarial loss (gain) | 299 | 411 | $ | 90 | $ | 78 | 4 | 1 | |||||||||||||||||||||||||||
Amount of loss (gain) recognized in AOCI | $ | 324 | $ | 440 | $ | 90 | $ | 78 | $ | 6 | $ | 3 |
Target Allocation Range | Percentage of Plan Assets by Strategy at December 31 | ||||||||||
2020 | 2019 | ||||||||||
Asset Category | |||||||||||
Domestic Equity |
15 – 40%
|
23 | % | 27 | % | ||||||
International Equity |
10 – 25%
|
18 | % | 17 | % | ||||||
Private Equity |
0 – 15%
|
10 | % | 10 | % | ||||||
Total Equity |
30 – 70%
|
51 | % | 54 | % | ||||||
Domestic Fixed Income |
10 – 40%
|
25 | % | 23 | % | ||||||
High Yield Fixed Income |
0 – 25%
|
8 | % | 8 | % | ||||||
Total Fixed Income |
10 – 65%
|
33 | % | 31 | % | ||||||
Real estate |
0 – 10%
|
5 | % | 5 | % | ||||||
Other |
0 – 20%
|
11 | % | 10 | % | ||||||
Total |
100%
|
100 | % | 100 | % |
Asset | Valuation Methodology | ||||
Money market funds |
• Valued at the net asset value of the shares held by the pension plan at year end.
|
||||
U.S. government and agency securities
Corporate debt Common stock |
• Valued at the closing price reported on the active market on which the individual securities are traded.
• If quoted market prices are not available for the specific security, then fair values are estimated by using pricing models or quoted prices of securities with similar characteristics. Such securities are generally classified within Level 2 of the valuation hierarchy but may be a Level 3 depending on the level of liquidity and activity in the market for the security.
|
||||
Mutual funds |
• Valued based on third-party pricing of the fund which is not actively traded.
|
||||
Other investments
Derivative financial instruments
Group annuity contracts
Preferred stock
|
• Derivative financial instruments - recorded at estimated fair value as determined by third-party appraisals and pricing models.
• Group annuity contracts - measured at fair value by discounting the related cash flows based on current yields of similar instruments with comparable durations considering the credit-worthiness of the issuer.
• Preferred stock - Valued at the closing price reported on an active market on which the securities are traded.
|
||||
Investments measured at NAV
Collective trust fund investments Limited partnerships |
• Collective trust fund investments - Valued based upon the units of such collective trust fund held by the Plan at year end multiplied by the respective unit value. The unit value of the collective trust fund is based upon significant observable inputs, although it is not based upon quoted prices in an active market. The underlying investments of the collective trust funds consist primarily of equity securities, debt obligations, short-term investments, and other marketable securities. Due to the nature of these securities, there are no unfunded commitments or redemption restrictions.
• Limited partnerships - Valued by investment managers based on recent financial information used to estimate fair value. The unit value of limited partnerships is based upon significant observable inputs, although it is not based upon quoted marked prices in an active market.
|
December 31, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
In millions | Level 1 | Level 2 | Level 3 | Total Fair Value | Level 1 | Level 2 | Level 3 | Total Fair Value | |||||||||||||||||||||||||||||||||||||||||||||
Interest bearing cash | $ | 1 | $ | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||
Money market funds | $ | 572 | $ | 572 | $ | 456 | 456 | ||||||||||||||||||||||||||||||||||||||||||||||
U.S. government and agency securities | 446 | $ | 126 | 572 | 582 | 135 | $ | 1 | 718 | ||||||||||||||||||||||||||||||||||||||||||||
Corporate debt | 730 | $ | 3 | 733 | 660 | 3 | 663 | ||||||||||||||||||||||||||||||||||||||||||||||
Common stock | 738 | 1 | 739 | 620 | 1 | 4 | 625 | ||||||||||||||||||||||||||||||||||||||||||||||
Mutual funds | 290 | 290 | 253 | 253 | |||||||||||||||||||||||||||||||||||||||||||||||||
Other | 1 | 214 | 215 | 126 | 126 | ||||||||||||||||||||||||||||||||||||||||||||||||
Investments measured at net asset value (a) | 2,952 | 2,812 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,757 | $ | 1,360 | $ | 4 | $ | 6,073 | $ | 1,658 | $ | 1,176 | $ | 8 | $ | 5,654 |
Pension Plans | Postretirement Benefits | ||||||||||||||||||||||
In millions | Qualified Pension | Nonqualified Pension | |||||||||||||||||||||
Estimated 2021 employer contributions | $ | 25 | $ | 24 | |||||||||||||||||||
Estimated future benefit payments | |||||||||||||||||||||||
2021 | $ | 292 | $ | 25 | $ | 24 | |||||||||||||||||
2022 | $ | 304 | $ | 22 | $ | 23 | |||||||||||||||||
2023 | $ | 317 | $ | 22 | $ | 23 | |||||||||||||||||
2024 | $ | 306 | $ | 21 | $ | 23 | |||||||||||||||||
2025 | $ | 303 | $ | 20 | $ | 22 | |||||||||||||||||
2026-2030 | $ | 1,476 | $ | 89 | $ | 104 |
Qualified Pension Plan | Nonqualified Pension Plan | Postretirement Benefits | |||||||||||||||||||||||||||
Year ended December 31 – in millions | 2020 | 2019 (b) | 2018 | 2020 | 2019 | 2018 | 2020 | 2019 | 2018 | ||||||||||||||||||||
Net periodic cost consists of: | |||||||||||||||||||||||||||||
Service cost | $ | 122 | $ | 115 | $ | 116 | $ | 3 | $ | 3 | $ | 3 | $ | 4 | $ | 4 | $ | 5 | |||||||||||
Interest cost | 160 | 186 | 171 | 8 | 10 | 9 | 11 | 13 | 12 | ||||||||||||||||||||
Expected return on plan assets | (302) | (288) | (306) | (6) | (5) | (6) | |||||||||||||||||||||||
Amortization of prior service cost/(credit) | 4 | 4 | 1 | ||||||||||||||||||||||||||
Amortization of actuarial (gain)/loss | 4 | 5 | 4 | 5 | |||||||||||||||||||||||||
Net periodic cost (benefit) | $ | (16) | $ | 21 | $ | (18) | $ | 16 | $ | 17 | $ | 17 | $ | 9 | $ | 12 | $ | 11 | |||||||||||
Other changes in plan assets and benefit obligations recognized in OCI: | |||||||||||||||||||||||||||||
Current year prior service cost/(credit) | 21 | ||||||||||||||||||||||||||||
Amortization of prior service (cost)/credit | (4) | (4) | (1) | ||||||||||||||||||||||||||
Current year actuarial loss/(gain) | (112) | (193) | 75 | 17 | 25 | (16) | 3 | 9 | (25) | ||||||||||||||||||||
Amortization of actuarial gain/(loss) | (4) | (5) | (4) | (5) | |||||||||||||||||||||||||
Total recognized in OCI | $ | (116) | $ | (180) | $ | 74 | $ | 12 | $ | 21 | $ | (21) | $ | 3 | $ | 9 | $ | (25) | |||||||||||
Total amounts recognized in net periodic cost and OCI | $ | (132) | $ | (159) | $ | 56 | $ | 28 | $ | 38 | $ | (4) | $ | 12 | $ | 21 | $ | (14) |
Net Periodic Cost Determination | |||||||||||
As of January 1 | 2020 | 2019 | 2018 | ||||||||
Discount rate | |||||||||||
Qualified pension (a) | 3.30 | % | 4.30 | % | 3.60 | % | |||||
Nonqualified pension | 3.05 | % | 4.15 | % | 3.45 | % | |||||
Postretirement benefits | 3.20 | % | 4.20 | % | 3.55 | % | |||||
Rate of compensation increase (average) (b) | 4.25 | % | 3.50 | % | 3.50 | % | |||||
Interest crediting rate (average) | |||||||||||
Qualified Pension | 3.85 | % | 3.95 | % | 3.90 | % | |||||
Nonqualified pension | 4.15 | % | 4.20 | % | 4.20 | % | |||||
Postretirement benefits | 2.05 | % | 3.05 | % | 2.35 | % | |||||
Assumed health care cost trend rate (c) | |||||||||||
Initial trend | 6.25 | % | 6.50 | % | 6.75 | % | |||||
Ultimate trend | 5.00 | % | 5.00 | % | 5.00 | % | |||||
Year ultimate trend reached | 2025 | 2025 | 2025 | ||||||||
Expected long-term return on plan assets (b) | 5.50 | % | 5.75 | % | 6.00 | % |
Year ended December 31 | 2020 | 2019 | ||||||||||||
Discount rate | ||||||||||||||
Qualified pension | 2.55 | % | 3.30 | % | ||||||||||
Nonqualified pension | 2.10 | % | 3.05 | % | ||||||||||
Postretirement benefits | 2.40 | % | 3.20 | % | ||||||||||
Rate of compensation increase (average) (a) | 4.25 | % | 4.25 | % | ||||||||||
Interest crediting rate (average) | ||||||||||||||
Qualified pension | 3.70 | % | 3.85 | % | ||||||||||
Nonqualified pension | 4.00 | % | 4.15 | % | ||||||||||
Postretirement benefits | 1.30 | % | 2.05 | % | ||||||||||
Assumed health care cost trend rate (b) | ||||||||||||||
Initial trend | 6.00 | % | 6.25 | % | ||||||||||
Ultimate trend | 5.00 | % | 5.00 | % | ||||||||||
Year ultimate trend reached | 2025 | 2025 |
Shares in thousands | Nonvested Incentive/Performance Units Shares | Weighted-Average Grant Date Fair Value | Nonvested Restricted Share Units | Weighted-Average Grant Date Fair Value | ||||||||||
December 31, 2019 | 844 | $ | 116.00 | 3,305 | $ | 128.29 | ||||||||
Granted (a) | 183 | $ | 147.60 | 1,268 | $ | 150.61 | ||||||||
Vested/Released (a) | (363) | $ | 106.17 | (1,053) | $ | 123.58 | ||||||||
Forfeitures | (63) | $ | 138.41 | |||||||||||
December 31, 2020 | 664 | $ | 130.08 | 3,457 | $ | 137.73 |
Year ended December 31
In millions |
2020 | 2019 | 2018 | |||||||||||||||||
Current | ||||||||||||||||||||
Federal | $ | 669 | $ | 570 | $ | 739 | ||||||||||||||
State | 158 | 152 | 178 | |||||||||||||||||
Total current | $ | 827 | $ | 722 | $ | 917 | ||||||||||||||
Deferred | ||||||||||||||||||||
Federal | (373) | 187 | 13 | |||||||||||||||||
State | (28) | (8) | (2) | |||||||||||||||||
Total deferred | $ | (401) | $ | 179 | $ | 11 | ||||||||||||||
Total | $ | 426 | $ | 901 | $ | 928 |
December 31 – in millions | 2020 | 2019 | ||||||||||||
Deferred tax assets | ||||||||||||||
Allowance for loan and lease losses | $ | 1,288 | $ | 661 | ||||||||||
Allowance for unfunded commitments | 141 | 78 | ||||||||||||
Compensation and benefits | 227 | 270 | ||||||||||||
Partnership investments | 121 | 120 | ||||||||||||
Loss and credit carryforward | 162 | 203 | ||||||||||||
Accrued expenses | 107 | 117 | ||||||||||||
Lease obligations | 528 | 545 | ||||||||||||
Other | 163 | 161 | ||||||||||||
Total gross deferred tax assets | 2,737 | 2,155 | ||||||||||||
Valuation allowance | (26) | (31) | ||||||||||||
Total deferred tax assets | 2,711 | 2,124 | ||||||||||||
Deferred tax liabilities | ||||||||||||||
Leasing | 1,179 | 1,183 | ||||||||||||
Right of Use Assets | 476 | 520 | ||||||||||||
Goodwill and intangibles | 193 | 194 | ||||||||||||
Fixed assets | 592 | 412 | ||||||||||||
Net unrealized gains on securities and financial instruments | 929 | 370 | ||||||||||||
Other | 143 | 306 | ||||||||||||
Total deferred tax liabilities | 3,512 | 2,985 | ||||||||||||
Net deferred tax liability | $ | 801 | $ | 861 |
Year ended December 31 | 2020 | 2019 | 2018 | ||||||||||||||
Statutory tax rate | 21.0 | % | 21.0 | % | 21.0 | % | |||||||||||
Increases (decreases) resulting from: | |||||||||||||||||
State taxes net of federal benefit | 2.0 | 2.3 | 2.5 | ||||||||||||||
Tax-exempt interest | (1.7) | (1.5) | (1.7) | ||||||||||||||
Life insurance | (1.6) | (1.0) | (1.0) | ||||||||||||||
Tax credits | (6.0) | (4.2) | (4.0) | ||||||||||||||
Federal deferred tax revaluation | (2.1) | ||||||||||||||||
Unrecognized tax benefits | (1.6) | (0.1) | 1.3 | ||||||||||||||
Subsidiary Liquidation | (1.2) | ||||||||||||||||
Other | 1.5 | (0.1) | 0.9 | ||||||||||||||
Effective tax rate | 12.4 | % | 16.4 | % | 16.9 | % |
Dollars in millions | December 31, 2020 | December 31, 2019 | Expiration | |||||||||||||||||
Net Operating Loss Carryforwards: | ||||||||||||||||||||
Federal | $ | 282 | $ | 402 | 2032 | |||||||||||||||
State | $ | 848 | $ | 1,197 |
2021-2039
|
In millions | 2020 | 2019 | 2018 | |||||||||||||||||
Balance of gross unrecognized tax benefits at January 1 | $ | 130 | $ | 207 | $ | 18 | ||||||||||||||
Increases: | ||||||||||||||||||||
Positions taken during a current period | 265 | |||||||||||||||||||
Positions taken during a prior period | 212 | |||||||||||||||||||
Decreases: | ||||||||||||||||||||
Positions taken during a prior period | (77) | (16) | ||||||||||||||||||
Settlements with taxing authorities | (130) | (7) | ||||||||||||||||||
Balance of gross unrecognized tax benefits at December 31 | $ | 265 | $ | 130 | $ | 207 | ||||||||||||||
Favorable impact if recognized | $ | 209 | $ | 76 | $ | 76 |
|
Years under examination | Status at December 31 | ||||||||||||
Federal | 2016 – 2018 | Under Exam |
Amount | Ratios | |||||||||||||||||||||||||||||||
December 31
Dollars in millions |
2020 | 2019 | 2020 | 2019 | “Well Capitalized” Requirements | |||||||||||||||||||||||||||
Risk-based capital | ||||||||||||||||||||||||||||||||
Common equity Tier 1 | ||||||||||||||||||||||||||||||||
PNC | $ | 39,735 | $ | 32,478 | 12.2 | % | 9.5 | % | N/A | |||||||||||||||||||||||
PNC Bank | $ | 35,232 | $ | 32,215 | 11.0 | % | 9.9 | % | 6.5 | % | ||||||||||||||||||||||
Tier 1 | ||||||||||||||||||||||||||||||||
PNC | $ | 43,252 | $ | 36,306 | 13.2 | % | 10.7 | % | 6.0 | % | ||||||||||||||||||||||
PNC Bank | $ | 35,232 | $ | 32,215 | 11.0 | % | 9.9 | % | 8.0 | % | ||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||
PNC | $ | 51,001 | $ | 43,331 | 15.6 | % | 12.7 | % | 10.0 | % | ||||||||||||||||||||||
PNC Bank | $ | 42,440 | $ | 39,074 | 13.2 | % | 12.1 | % | 10.0 | % | ||||||||||||||||||||||
Leverage | ||||||||||||||||||||||||||||||||
PNC | $ | 43,252 | $ | 36,306 | 9.5 | % | 9.1 | % | N/A | |||||||||||||||||||||||
PNC Bank | $ | 35,232 | $ | 32,215 | 7.9 | % | 8.3 | % | 5.0 | % |
Year ended December 31 – in millions | 2020 | 2019 | 2018 | ||||||||||||||
Operating Revenue | |||||||||||||||||
Dividends from: | |||||||||||||||||
Bank subsidiaries and bank holding company | $ | 13,701 | $ | 3,570 | $ | 2,639 | |||||||||||
Non-bank subsidiaries | 300 | 170 | 157 | ||||||||||||||
Interest income | 38 | 169 | 147 | ||||||||||||||
Noninterest income | 37 | 48 | (1) | ||||||||||||||
Total operating revenue | 14,076 | 3,957 | 2,942 | ||||||||||||||
Operating Expense | |||||||||||||||||
Interest expense | 179 | 325 | 281 | ||||||||||||||
Other expense | 91 | 146 | 139 | ||||||||||||||
Total operating expense | 270 | 471 | 420 | ||||||||||||||
Income before income taxes and equity in undistributed net income of subsidiaries | 13,806 | 3,486 | 2,522 | ||||||||||||||
Equity in undistributed net income of subsidiaries: | |||||||||||||||||
Bank subsidiaries and bank holding company | (12,009) | 671 | 1,602 | ||||||||||||||
Non-bank subsidiaries | (86) | 164 | 181 | ||||||||||||||
Income from continuing operations before taxes | 1,711 | 4,321 | 4,305 | ||||||||||||||
Income tax benefit from continuing operations | $ | (1,251) | (221) | (208) | |||||||||||||
Net income from continuing operations | 2,962 | 4,542 | 4,513 | ||||||||||||||
Dividends from discontinued operations | |||||||||||||||||
Bank subsidiaries and bank holding company | 126 | 460 | 418 | ||||||||||||||
Equity in undistributed net income of subsidiaries from discontinued operations: | |||||||||||||||||
Bank subsidiaries and bank holding company | 5,651 | 528 | 524 | ||||||||||||||
Income from discontinued operations before taxes | 5,777 | 988 | 942 | ||||||||||||||
Income taxes from discontinued operations | 1,222 | 161 | 154 | ||||||||||||||
Net income from discontinued operations | 4,555 | 827 | 788 | ||||||||||||||
Net income | $ | 7,517 | $ | 5,369 | $ | 5,301 | |||||||||||
Other comprehensive income, net of tax: | |||||||||||||||||
Net pension and other postretirement benefit plan activity arising during the period | 1 | (2) | 1 | ||||||||||||||
Other comprehensive income (loss) | 1 | (2) | 1 | ||||||||||||||
Comprehensive income | $ | 7,518 | $ | 5,367 | $ | 5,302 |
December 31 – in millions | 2020 | 2019 | |||||||||
Assets | |||||||||||
Cash held at banking subsidiary | $ | 14,882 | $ | 6 | |||||||
Restricted deposits with banking subsidiary | 175 | 175 | |||||||||
Nonrestricted interest-earning deposits | 7,024 | ||||||||||
Investments in: | |||||||||||
Bank subsidiaries and bank holding company | 45,992 | 41,882 | |||||||||
Non-bank subsidiaries | 1,984 | 2,054 | |||||||||
Net investment held for sale | 6,772 | ||||||||||
Loans with affiliates | 1,021 | 730 | |||||||||
Other assets | 1,934 | 1,512 | |||||||||
Total assets | $ | 65,988 | $ | 60,155 | |||||||
Liabilities | |||||||||||
Subordinated debt (a) | $ | 1,010 | $ | 986 | |||||||
Senior debt (a) | 9,567 | 8,849 | |||||||||
Other borrowed funds from affiliates | 780 | 307 | |||||||||
Accrued expenses and other liabilities | 621 | 699 | |||||||||
Total liabilities | 11,978 | 10,841 | |||||||||
Equity | |||||||||||
Shareholders’ equity | 54,010 | 49,314 | |||||||||
Total liabilities and equity | $ | 65,988 | $ | 60,155 |
Year ended December 31 – in millions | Interest Paid | Income Tax Refunds/(Payments) | ||||||||||||
2020 | $ | 335 | $ | 29 | ||||||||||
2019 | $ | 300 | $ | 26 | ||||||||||
2018 | $ | 288 | $ | 88 |
Year ended December 31 – in millions | 2020 | 2019 | 2018 | ||||||||||||||
Operating Activities | |||||||||||||||||
Net income | $ | 7,517 | $ | 5,369 | $ | 5,301 | |||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||
Equity in undistributed net earnings of subsidiaries | (1,363) | (2,307) | |||||||||||||||
Return on investment in subsidiaries | 6,444 | ||||||||||||||||
Other | 237 | 218 | 155 | ||||||||||||||
Net cash provided (used) by operating activities | $ | 14,198 | $ | 4,224 | $ | 3,149 | |||||||||||
Investing Activities | |||||||||||||||||
Net change in loans and securities from affiliates | $ | (2,808) | $ | 664 | $ | 540 | |||||||||||
Net change in nonrestricted interest-earning deposits | 7,024 | (2,369) | 1,145 | ||||||||||||||
Other | (8) | 2 | |||||||||||||||
Net cash provided (used) by investing activities | $ | 4,216 | $ | (1,713) | $ | 1,687 | |||||||||||
Financing Activities | |||||||||||||||||
Net change in other borrowed funds from affiliates | $ | 473 | $ | 228 | $ | (29) | |||||||||||
Proceeds from long-term borrowings | 1,986 | 4,180 | 498 | ||||||||||||||
Repayments of long-term borrowings | (1,750) | (1,300) | (553) | ||||||||||||||
Net change in commercial paper | (100) | ||||||||||||||||
Preferred stock redemptions | (480) | ||||||||||||||||
Common and treasury stock issuances | 65 | 90 | 69 | ||||||||||||||
Acquisition of treasury stock | (1,624) | (3,578) | (2,877) | ||||||||||||||
Preferred stock cash dividends paid | (229) | (236) | (236) | ||||||||||||||
Common stock cash dividends paid | (1,979) | (1,895) | (1,603) | ||||||||||||||
Net cash provided (used) by financing activities | $ | (3,538) | $ | (2,511) | $ | (4,831) | |||||||||||
Net increase (decrease) in cash and due from banks | $ | 14,876 | $ | 5 | |||||||||||||
Net cash provided by operating activities of discontinued operations | 11,542 | 299 | 264 | ||||||||||||||
Net cash activity from continuing operations | 3,334 | (299) | (259) | ||||||||||||||
Cash and restricted deposits held at banking subsidiary at beginning of year | 181 | 181 | 176 | ||||||||||||||
Cash and restricted deposits held at banking subsidiary at end of year | $ | 15,057 | $ | 181 | $ | 181 |
Year ended December 31
In millions |
Retail
Banking |
Corporate &
Institutional Banking |
Asset
Management Group |
Other | Consolidated (a) | |||||||||||||||||||||||||||
2020 | ||||||||||||||||||||||||||||||||
Income Statement | ||||||||||||||||||||||||||||||||
Net interest income | $ | 5,609 | $ | 3,999 | $ | 357 | $ | (19) | $ | 9,946 | ||||||||||||||||||||||
Noninterest income | 2,519 | 3,062 | 854 | 520 | 6,955 | |||||||||||||||||||||||||||
Total revenue | 8,128 | 7,061 | 1,211 | 501 | 16,901 | |||||||||||||||||||||||||||
Provision for credit losses | 968 | 2,088 | 21 | 98 | 3,175 | |||||||||||||||||||||||||||
Depreciation and amortization | 251 | 197 | 45 | 490 | 983 | |||||||||||||||||||||||||||
Other noninterest expense | 5,768 | 2,659 | 813 | 74 | 9,314 | |||||||||||||||||||||||||||
Income (loss) from continuing operations before income taxes (benefit)
and noncontrolling interests |
1,141 | 2,117 | 332 | (161) | 3,429 | |||||||||||||||||||||||||||
Income taxes (benefit) from continuing operations | 266 | 433 | 77 | (350) | 426 | |||||||||||||||||||||||||||
Net income from continuing operations | 875 | 1,684 | 255 | 189 | 3,003 | |||||||||||||||||||||||||||
Less: Net income attributable to noncontrolling interests | 31 | 10 | 41 | |||||||||||||||||||||||||||||
Net income from continuing operations excluding noncontrolling
interests |
$ | 844 | $ | 1,674 | $ | 255 | $ | 189 | $ | 2,962 | ||||||||||||||||||||||
Average Assets | $ | 97,643 | $ | 183,189 | $ | 8,186 | $ | 160,277 | $ | 449,295 | ||||||||||||||||||||||
2019 | ||||||||||||||||||||||||||||||||
Income Statement | ||||||||||||||||||||||||||||||||
Net interest income | $ | 5,520 | $ | 3,637 | $ | 288 | $ | 520 | $ | 9,965 | ||||||||||||||||||||||
Noninterest income | 2,648 | 2,537 | 991 | 698 | 6,874 | |||||||||||||||||||||||||||
Total revenue | 8,168 | 6,174 | 1,279 | 1,218 | 16,839 | |||||||||||||||||||||||||||
Provision for (recapture of) credit losses | 517 | 284 | (1) | (27) | 773 | |||||||||||||||||||||||||||
Depreciation and amortization | 230 | 198 | 62 | 545 | 1,035 | |||||||||||||||||||||||||||
Other noninterest expense | 5,781 | 2,615 | 877 | 266 | 9,539 | |||||||||||||||||||||||||||
Income from continuing operations before income taxes
and noncontrolling interests |
1,640 | 3,077 | 341 | 434 | 5,492 | |||||||||||||||||||||||||||
Income taxes (benefit) from continuing operations | 377 | 629 | 79 | (184) | 901 | |||||||||||||||||||||||||||
Net income from continuing operations | 1,263 | 2,448 | 262 | 618 | 4,591 | |||||||||||||||||||||||||||
Less: Net income attributable to noncontrolling interests | 50 | (1) | 49 | |||||||||||||||||||||||||||||
Net income from continuing operations excluding noncontrolling
interests |
$ | 1,213 | $ | 2,448 | $ | 262 | $ | 619 | $ | 4,542 | ||||||||||||||||||||||
Average Assets | $ | 92,959 | $ | 164,243 | $ | 7,360 | $ | 135,773 | $ | 400,335 | ||||||||||||||||||||||
2018 | ||||||||||||||||||||||||||||||||
Income Statement | ||||||||||||||||||||||||||||||||
Net interest income | $ | 5,119 | $ | 3,551 | $ | 287 | $ | 764 | $ | 9,721 | ||||||||||||||||||||||
Noninterest income | 2,631 | 2,406 | 892 | 540 | 6,469 | |||||||||||||||||||||||||||
Total revenue | 7,750 | 5,957 | 1,179 | 1,304 | 16,190 | |||||||||||||||||||||||||||
Provision for (recapture of) credit losses | 373 | 85 | 2 | (52) | 408 | |||||||||||||||||||||||||||
Depreciation and amortization | 206 | 186 | 52 | 496 | 940 | |||||||||||||||||||||||||||
Other noninterest expense | 5,724 | 2,520 | 861 | 251 | 9,356 | |||||||||||||||||||||||||||
Income from continuing operations before income taxes
and noncontrolling interests |
1,447 | 3,166 | 264 | 609 | 5,486 | |||||||||||||||||||||||||||
Income taxes (benefit) from continuing operations | 335 | 658 | 62 | (127) | 928 | |||||||||||||||||||||||||||
Net income from continuing operations | 1,112 | 2,508 | 202 | 736 | 4,558 | |||||||||||||||||||||||||||
Less: Net income attributable to noncontrolling interests | 48 | (3) | 45 | |||||||||||||||||||||||||||||
Net income from continuing operations excluding noncontrolling
interests |
$ | 1,064 | $ | 2,508 | $ | 202 | $ | 739 | $ | 4,513 | ||||||||||||||||||||||
Average Assets | $ | 89,739 | $ | 154,119 | $ | 7,423 | $ | 126,954 | $ | 378,235 |
Year ended December 31 | |||||||||||||||||
In millions | 2020 | 2019 | 2018 | ||||||||||||||
Product | |||||||||||||||||
Debit card fees | $ | 522 | $ | 535 | $ | 505 | |||||||||||
Deposit account fees | 463 | 642 | 618 | ||||||||||||||
Brokerage fees | 367 | 356 | 350 | ||||||||||||||
Net credit card fees (a) | 179 | 186 | 189 | ||||||||||||||
Merchant services | 154 | 216 | 212 | ||||||||||||||
Other | 225 | 255 | 284 | ||||||||||||||
Total in-scope noninterest income by product | $ | 1,910 | $ | 2,190 | $ | 2,158 | |||||||||||
Reconciliation to total Retail Banking noninterest income | |||||||||||||||||
Total in-scope noninterest income | $ | 1,910 | $ | 2,190 | $ | 2,158 | |||||||||||
Total out-of-scope noninterest income (b) | 609 | 458 | 473 | ||||||||||||||
Total Retail Banking noninterest income | $ | 2,519 | $ | 2,648 | $ | 2,631 |
Year ended December 31 | |||||||||||||||||
In millions | 2020 | 2019 | 2018 | ||||||||||||||
Product | |||||||||||||||||
Treasury management fees | $ | 897 | $ | 840 | $ | 776 | |||||||||||
Capital markets fees | 759 | 547 | 510 | ||||||||||||||
Commercial mortgage banking activities | 111 | 102 | 87 | ||||||||||||||
Other | 83 | 77 | 81 | ||||||||||||||
Total in-scope noninterest income by product | $ | 1,850 | $ | 1,566 | $ | 1,454 | |||||||||||
Reconciliation to total Corporate & Institutional Banking noninterest income | |||||||||||||||||
Total in-scope noninterest income | $ | 1,850 | $ | 1,566 | $ | 1,454 | |||||||||||
Total out-of-scope noninterest income (a) | 1,212 | 971 | 952 | ||||||||||||||
Total Corporate & Institutional Banking noninterest income | $ | 3,062 | $ | 2,537 | $ | 2,406 |
Year ended December 31 | |||||||||||||||||
In millions | 2020 | 2019 | 2018 | ||||||||||||||
Customer Type | |||||||||||||||||
Personal | $ | 634 | $ | 620 | $ | 611 | |||||||||||
Institutional | 202 | 242 | 272 | ||||||||||||||
Total in-scope noninterest income by customer type | $ | 836 | $ | 862 | $ | 883 | |||||||||||
Reconciliation to Asset Management Group noninterest income | |||||||||||||||||
Total in-scope noninterest income | $ | 836 | $ | 862 | $ | 883 | |||||||||||
Total out-of-scope noninterest income (a) | 18 | 129 | 9 | ||||||||||||||
Total Asset Management Group noninterest income | $ | 854 | $ | 991 | $ | 892 |
Dollars in millions, except per share data | 2020 | 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Fourth | Third | Second | First | Fourth | Third | Second | First | ||||||||||||||||||||||||||||||||||||||||||||||
Summary of Operations | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest income | $ | 2,576 | $ | 2,676 | $ | 2,855 | $ | 3,200 | $ | 3,334 | $ | 3,503 | $ | 3,497 | $ | 3,428 | |||||||||||||||||||||||||||||||||||||
Interest expense | 152 | 192 | 328 | 689 | 846 | 999 | 999 | 953 | |||||||||||||||||||||||||||||||||||||||||||||
Net interest income | 2,424 | 2,484 | 2,527 | 2,511 | 2,488 | 2,504 | 2,498 | 2,475 | |||||||||||||||||||||||||||||||||||||||||||||
Noninterest income | 1,784 | 1,797 | 1,549 | 1,825 | 1,833 | 1,738 | 1,717 | 1,586 | |||||||||||||||||||||||||||||||||||||||||||||
Total revenue | 4,208 | 4,281 | 4,076 | 4,336 | 4,321 | 4,242 | 4,215 | 4,061 | |||||||||||||||||||||||||||||||||||||||||||||
Provision for (Recapture of) credit losses | (254) | 52 | 2,463 | 914 | 221 | 183 | 180 | 189 | |||||||||||||||||||||||||||||||||||||||||||||
Noninterest expense | 2,708 | 2,531 | 2,515 | 2,543 | 2,762 | 2,623 | 2,611 | 2,578 | |||||||||||||||||||||||||||||||||||||||||||||
Income (loss) from continuing operations before income taxes and noncontrolling interests | 1,754 | 1,698 | (902) | 879 | 1,338 | 1,436 | 1,424 | 1,294 | |||||||||||||||||||||||||||||||||||||||||||||
Income taxes (benefit) from continuing operations | 298 | 166 | (158) | 120 | 195 | 255 | 239 | 212 | |||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) from continuing operations | 1,456 | 1,532 | (744) | 759 | 1,143 | 1,181 | 1,185 | 1,082 | |||||||||||||||||||||||||||||||||||||||||||||
Income from discontinued operations before taxes | 5,596 | 181 | 288 | 251 | 224 | 225 | |||||||||||||||||||||||||||||||||||||||||||||||
Income taxes from discontinued operations | 1,197 | 25 | 50 | 40 | 35 | 36 | |||||||||||||||||||||||||||||||||||||||||||||||
Net income from discontinued operations | 4,399 | 156 | 238 | 211 | 189 | 189 | |||||||||||||||||||||||||||||||||||||||||||||||
Net Income | 1,456 | 1,532 | 3,655 | 915 | 1,381 | 1,392 | 1,374 | 1,271 | |||||||||||||||||||||||||||||||||||||||||||||
Less: Net income attributable to noncontrolling interests | 14 | 13 | 7 | 7 | 14 | 13 | 12 | 10 | |||||||||||||||||||||||||||||||||||||||||||||
Preferred stock dividends and discount accretion
and redemptions |
49 | 64 | 56 | 64 | 56 | 64 | 56 | 64 | |||||||||||||||||||||||||||||||||||||||||||||
Net income attributable to common shareholders | $ | 1,393 | $ | 1,455 | $ | 3,592 | $ | 844 | $ | 1,311 | $ | 1,315 | $ | 1,306 | $ | 1,197 | |||||||||||||||||||||||||||||||||||||
Per Common Share | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Book value | $ | 119.11 | $ | 117.44 | $ | 115.26 | $ | 106.70 | $ | 104.59 | $ | 103.37 | $ | 101.53 | $ | 98.47 | |||||||||||||||||||||||||||||||||||||
Cash dividends declared (a) | $ | 1.15 | $ | 1.15 | $ | 1.15 | $ | 1.15 | $ | 1.15 | $ | 1.15 | $ | 0.95 | $ | 0.95 | |||||||||||||||||||||||||||||||||||||
Basic earnings (loss) from continuing operations | $ | 3.26 | $ | 3.40 | $ | (1.90) | $ | 1.59 | $ | 2.44 | $ | 2.47 | $ | 2.47 | $ | 2.21 | |||||||||||||||||||||||||||||||||||||
Basic earnings from discontinued operations | $ | 10.28 | $ | 0.37 | $ | 0.54 | $ | 0.48 | $ | 0.42 | $ | 0.41 | |||||||||||||||||||||||||||||||||||||||||
Total basic earnings | $ | 3.26 | $ | 3.40 | $ | 8.40 | $ | 1.96 | $ | 2.98 | $ | 2.95 | $ | 2.89 | $ | 2.62 | |||||||||||||||||||||||||||||||||||||
Diluted earnings (loss) from continuing operations | $ | 3.26 | $ | 3.39 | $ | (1.90) | $ | 1.59 | $ | 2.43 | $ | 2.47 | $ | 2.47 | $ | 2.20 | |||||||||||||||||||||||||||||||||||||
Diluted earnings from discontinued operations | $ | 10.28 | $ | 0.36 | $ | 0.54 | $ | 0.47 | $ | 0.41 | $ | 0.41 | |||||||||||||||||||||||||||||||||||||||||
Total diluted earnings | $ | 3.26 | $ | 3.39 | $ | 8.40 | $ | 1.95 | $ | 2.97 | $ | 2.94 | $ | 2.88 | $ | 2.61 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Taxable-equivalent basis
Dollars in millions |
Average
Balances |
Interest
Income/ Expense |
Average
Yields/ Rates |
Average
Balances |
Interest
Income/ Expense |
Average
Yields/ Rates |
Average
Balances |
Interest
Income/ Expense |
Average
Yields/ Rates |
||||||||||||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment securities | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities available for sale | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agency | $ | 50,594 | $ | 1,109 | 2.19 | % | $ | 31,526 | $ | 867 | 2.75 | % | $ | 27,156 | $ | 740 | 2.72 | % | |||||||||||||||||||||||||||||||||||||||||
Non-agency | 1,480 | 109 | 7.36 | % | 1,746 | 141 | 8.08 | % | 2,196 | 146 | 6.65 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 6,865 | 183 | 2.67 | % | 5,676 | 162 | 2.85 | % | 4,545 | 128 | 2.82 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 5,090 | 129 | 2.53 | % | 5,199 | 172 | 3.31 | % | 5,242 | 165 | 3.15 | % | |||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | 17,234 | 324 | 1.88 | % | 17,642 | 435 | 2.47 | % | 16,319 | 373 | 2.29 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 4,564 | 160 | 3.51 | % | 3,200 | 107 | 3.34 | % | 4,064 | 142 | 3.49 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total securities available for sale | 85,827 | 2,014 | 2.35 | % | 64,989 | 1,884 | 2.90 | % | 59,522 | 1,694 | 2.85 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Securities held to maturity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 15,421 | 438 | 2.84 | % | 15,670 | 456 | 2.91 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 553 | 21 | 3.80 | % | 767 | 29 | 3.78 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 18 | 120 | 5 | 4.17 | % | 192 | 7 | 3.65 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | 786 | 22 | 2.80 | % | 767 | 22 | 2.87 | % | 749 | 21 | 2.80 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 648 | 28 | 4.32 | % | 1,816 | 80 | 4.41 | % | 1,884 | 82 | 4.35 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total securities held to maturity | 1,452 | 50 | 3.44 | % | 18,677 | 566 | 3.03 | % | 19,262 | 595 | 3.09 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total investment securities | 87,279 | 2,064 | 2.36 | % | 83,666 | 2,450 | 2.93 | % | 78,784 | 2,289 | 2.91 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Loans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | 139,254 | 4,276 | 3.07 | % | 123,524 | 5,157 | 4.17 | % | 113,837 | 4,606 | 4.05 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate | 28,765 | 858 | 2.98 | % | 28,526 | 1,235 | 4.33 | % | 28,756 | 1,193 | 4.15 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Equipment lease financing | 6,812 | 263 | 3.86 | % | 7,255 | 285 | 3.93 | % | 7,437 | 267 | 3.59 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 55,423 | 2,730 | 4.93 | % | 55,671 | 3,083 | 5.54 | % | 55,438 | 2,817 | 5.08 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Residential real estate | 22,379 | 852 | 3.81 | % | 20,040 | 844 | 4.21 | % | 17,810 | 784 | 4.40 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total loans | 252,633 | 8,979 | 3.55 | % | 235,016 | 10,604 | 4.51 | % | 223,278 | 9,667 | 4.33 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Interest-earning deposits with banks | 47,333 | 100 | 0.21 | % | 16,878 | 353 | 2.09 | % | 20,603 | 379 | 1.84 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Other interest-earning assets | 9,553 | 239 | 2.50 | % | 12,425 | 458 | 3.69 | % | 8,093 | 362 | 4.47 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-earning assets/interest income | 396,798 | 11,382 | 2.87 | % | 347,985 | 13,865 | 3.98 | % | 330,758 | 12,697 | 3.84 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-earning assets | 52,497 | 52,350 | 47,477 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 449,295 | $ | 400,335 | $ | 378,235 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Equity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Money market | $ | 60,229 | 138 | 0.23 | % | $ | 55,505 | 609 | 1.10 | % | $ | 56,353 | 416 | 0.74 | % | ||||||||||||||||||||||||||||||||||||||||||||
Demand | 82,295 | 109 | 0.13 | % | 65,729 | 354 | 0.54 | % | 60,599 | 190 | 0.31 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Savings | 75,574 | 233 | 0.31 | % | 62,938 | 696 | 1.11 | % | 51,908 | 428 | 0.82 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Time deposits | 20,673 | 163 | 0.79 | % | 20,416 | 327 | 1.60 | % | 17,501 | 195 | 1.11 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | 238,771 | 643 | 0.27 | % | 204,588 | 1,986 | 0.97 | % | 186,361 | 1,229 | 0.66 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Borrowed funds | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Federal Home Loan Bank borrowings | 9,470 | 103 | 1.09 | % | 22,253 | 569 | 2.56 | % | 20,970 | 478 | 2.28 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Bank notes and senior debt | 27,030 | 428 | 1.58 | % | 26,781 | 869 | 3.24 | % | 27,855 | 818 | 2.94 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Subordinated debt | 5,936 | 112 | 1.89 | % | 5,588 | 214 | 3.83 | % | 5,292 | 224 | 4.23 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Other | 5,502 | 75 | 1.36 | % | 6,906 | 159 | 2.30 | % | 5,189 | 112 | 2.16 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total borrowed funds | 47,938 | 718 | 1.50 | % | 61,528 | 1,811 | 2.94 | % | 59,306 | 1,632 | 2.75 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities/interest expense | 286,709 | 1,361 | 0.47 | % | 266,116 | 3,797 | 1.43 | % | 245,667 | 2,861 | 1.16 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing liabilities and equity: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noninterest-bearing deposits | 95,055 | 72,212 | 76,303 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued expenses and other liabilities | 15,774 | 13,371 | 9,440 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity | 51,757 | 48,636 | 46,825 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and equity | $ | 449,295 | $ | 400,335 | $ | 378,235 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate spread | 2.40 | % | 2.55 | % | 2.68 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Benefit from use of noninterest bearing sources | 0.13 | 0.34 | 0.29 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income/margin | $ | 10,021 | 2.53 | % | $ | 10,068 | 2.89 | % | $ | 9,836 | 2.97 | % |
2020/2019 | 2019/2018 | |||||||||||||||||||||||||||||||||||||||||||
Taxable-equivalent basis |
Increase/(Decrease) in Income/
Expense Due to Changes in: |
Increase/(Decrease) in Income/
Expense Due to Changes in: |
||||||||||||||||||||||||||||||||||||||||||
In millions | Volume | Rate | Total | Volume | Rate | Total | ||||||||||||||||||||||||||||||||||||||
Interest-Earning Assets | ||||||||||||||||||||||||||||||||||||||||||||
Investment securities | ||||||||||||||||||||||||||||||||||||||||||||
Securities available for sale | ||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | ||||||||||||||||||||||||||||||||||||||||||||
Agency | $ | 445 | $ | (203) | $ | 242 | $ | 119 | $ | 8 | $ | 127 | ||||||||||||||||||||||||||||||||
Non-agency | $ | (20) | $ | (12) | (32) | $ | (33) | $ | 28 | (5) | ||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | $ | 32 | $ | (11) | 21 | $ | 32 | $ | 2 | 34 | ||||||||||||||||||||||||||||||||||
Asset-backed | $ | (4) | $ | (39) | (43) | $ | (1) | $ | 8 | 7 | ||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | (10) | $ | (101) | (111) | $ | 32 | $ | 30 | 62 | ||||||||||||||||||||||||||||||||||
Other | $ | 48 | $ | 5 | 53 | $ | (29) | $ | (6) | (35) | ||||||||||||||||||||||||||||||||||
Total securities available for sale | $ | 532 | $ | (402) | 130 | $ | 160 | $ | 30 | 190 | ||||||||||||||||||||||||||||||||||
Securities held to maturity | ||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | $ | (219) | $ | (218) | (437) | $ | (7) | $ | (12) | (19) | ||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | $ | (11) | $ | (11) | (22) | $ | (8) | (8) | ||||||||||||||||||||||||||||||||||||
Asset-backed | $ | (2) | $ | (3) | (5) | $ | (3) | $ | 1 | (2) | ||||||||||||||||||||||||||||||||||
U.S. Treasury and government agencies | $ | 1 | $ | (1) | $ | 1 | $ | 1 | 2 | |||||||||||||||||||||||||||||||||||
Other | $ | (50) | $ | (2) | (52) | $ | (3) | $ | 1 | (2) | ||||||||||||||||||||||||||||||||||
Total securities held to maturity | $ | (584) | $ | 68 | (516) | $ | (18) | $ | (11) | (29) | ||||||||||||||||||||||||||||||||||
Total investment securities | $ | 102 | $ | (488) | (386) | $ | 147 | $ | 14 | 161 | ||||||||||||||||||||||||||||||||||
Loans | ||||||||||||||||||||||||||||||||||||||||||||
Commercial | $ | 600 | $ | (1,482) | (882) | $ | 404 | $ | 147 | 551 | ||||||||||||||||||||||||||||||||||
Commercial real estate | $ | 10 | $ | (387) | (377) | $ | (10) | $ | 52 | 42 | ||||||||||||||||||||||||||||||||||
Equipment lease financing | $ | (17) | $ | (5) | (22) | $ | (7) | $ | 25 | 18 | ||||||||||||||||||||||||||||||||||
Consumer | $ | (14) | $ | (339) | (353) | $ | 12 | $ | 254 | 266 | ||||||||||||||||||||||||||||||||||
Residential real estate | $ | 94 | $ | (85) | 9 | $ | 95 | $ | (35) | 60 | ||||||||||||||||||||||||||||||||||
Total loans | $ | 751 | $ | (2,376) | (1,625) | $ | 521 | $ | 416 | 937 | ||||||||||||||||||||||||||||||||||
Interest-earning deposits with banks | $ | 254 | $ | (507) | (253) | $ | (74) | $ | 48 | (26) | ||||||||||||||||||||||||||||||||||
Other interest-earning assets | $ | (92) | $ | (127) | (219) | $ | 168 | $ | (72) | 96 | ||||||||||||||||||||||||||||||||||
Total interest-earning assets | $ | 1,755 | $ | (4,238) | $ | (2,483) | $ | 687 | $ | 481 | $ | 1,168 | ||||||||||||||||||||||||||||||||
Interest-Bearing Liabilities | ||||||||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits | ||||||||||||||||||||||||||||||||||||||||||||
Money market | $ | 48 | $ | (519) | $ | (471) | $ | (6) | $ | 199 | $ | 193 | ||||||||||||||||||||||||||||||||
Demand | $ | 72 | $ | (317) | (245) | $ | 17 | $ | 147 | 164 | ||||||||||||||||||||||||||||||||||
Savings | $ | 118 | $ | (581) | (463) | $ | 101 | $ | 167 | 268 | ||||||||||||||||||||||||||||||||||
Time deposits | $ | 4 | $ | (168) | (164) | $ | 36 | $ | 96 | 132 | ||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | $ | 287 | $ | (1,630) | (1,343) | $ | 130 | $ | 627 | 757 | ||||||||||||||||||||||||||||||||||
Borrowed funds | ||||||||||||||||||||||||||||||||||||||||||||
Federal Home Loan Bank borrowings | $ | (233) | $ | (233) | (466) | $ | 30 | $ | 61 | 91 | ||||||||||||||||||||||||||||||||||
Bank notes and senior debt | $ | 8 | $ | (449) | (441) | $ | (33) | $ | 84 | 51 | ||||||||||||||||||||||||||||||||||
Subordinated debt | $ | 12 | $ | (114) | (102) | $ | 12 | $ | (22) | (10) | ||||||||||||||||||||||||||||||||||
Other | $ | (28) | $ | (56) | (84) | $ | 40 | $ | 7 | 47 | ||||||||||||||||||||||||||||||||||
Total borrowed funds | $ | (339) | $ | (754) | (1,093) | $ | 62 | $ | 117 | 179 | ||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | $ | 276 | $ | (2,712) | (2,436) | $ | 246 | $ | 690 | 936 | ||||||||||||||||||||||||||||||||||
Change in net interest income | $ | 1,302 | $ | (1,349) | $ | (47) | $ | 502 | $ | (270) | $ | 232 |
Year ended December 31
In millions |
|||||||||||||||||||||||||||||||||||
2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||||||
Net interest income (GAAP) | $ | 9,946 | $ | 9,965 | $ | 9,721 | $ | 9,108 | $ | 8,391 | |||||||||||||||||||||||||
Taxable-equivalent adjustments | 75 | 103 | 115 | 215 | 195 | ||||||||||||||||||||||||||||||
Net interest income (Non-GAAP) | $ | 10,021 | $ | 10,068 | $ | 9,836 | $ | 9,323 | $ | 8,586 |
Year ended December 31
In millions |
2020 | 2019 | 2018 | |||||||||||||||||
Noninterest income | ||||||||||||||||||||
Asset management | $ | 836 | $ | 862 | $ | 883 | ||||||||||||||
Consumer services | 1,484 | 1,555 | 1,502 | |||||||||||||||||
Corporate services | 2,167 | 1,914 | 1,849 | |||||||||||||||||
Residential mortgage | 604 | 368 | 316 | |||||||||||||||||
Service charges on deposits | 500 | 702 | 714 | |||||||||||||||||
Total fee income | 5,591 | 5,401 | 5,264 | |||||||||||||||||
Other | 1,364 | 1,473 | 1,205 | |||||||||||||||||
Total noninterest income | $ | 6,955 | $ | 6,874 | $ | 6,469 |
December 31
Dollars in millions, except per share data |
2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||
Book value per common share | $ | 119.11 | $ | 104.59 | $ | 95.72 | $ | 91.94 | $ | 85.94 | ||||||||||||||||||||||
Tangible book value per common share | ||||||||||||||||||||||||||||||||
Common shareholders’ equity | $ | 50,493 | $ | 45,321 | $ | 43,742 | $ | 43,530 | $ | 41,723 | ||||||||||||||||||||||
Goodwill and other intangible assets | (9,381) | (9,441) | (9,467) | (9,498) | (9,376) | |||||||||||||||||||||||||||
Deferred tax liabilities on Goodwill and other intangible assets | 188 | 187 | 190 | 191 | 304 | |||||||||||||||||||||||||||
Tangible common shareholders’ equity | $ | 41,300 | $ | 36,067 | $ | 34,465 | $ | 34,223 | $ | 32,651 | ||||||||||||||||||||||
Period-end common shares outstanding (in millions) | 424 | 433 | 457 | 473 | 485 | |||||||||||||||||||||||||||
Tangible book value per common share (Non-GAAP) (a) | $ | 97.43 | $ | 83.30 | $ | 75.42 | $ | 72.28 | $ | 67.26 |
December 31
In millions |
2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||||||||||
Commercial | |||||||||||||||||||||||||||||||||||
Commercial and industrial | $ | 132,073 | $ | 125,337 | $ | 116,834 | $ | 110,527 | $ | 101,364 | |||||||||||||||||||||||||
Commercial real estate | 28,716 | 28,110 | 28,140 | 28,978 | 29,010 | ||||||||||||||||||||||||||||||
Equipment lease financing | 6,414 | 7,155 | 7,308 | 7,934 | 7,581 | ||||||||||||||||||||||||||||||
Total commercial | 167,203 | 160,602 | 152,282 | 147,439 | 137,955 | ||||||||||||||||||||||||||||||
Consumer | |||||||||||||||||||||||||||||||||||
Home equity | 24,088 | 25,085 | 26,123 | 28,364 | 29,949 | ||||||||||||||||||||||||||||||
Residential real estate | 22,560 | 21,821 | 18,657 | 17,212 | 15,598 | ||||||||||||||||||||||||||||||
Automobile | 14,218 | 16,754 | 14,419 | 12,880 | 12,380 | ||||||||||||||||||||||||||||||
Credit card | 6,215 | 7,308 | 6,357 | 5,699 | 5,282 | ||||||||||||||||||||||||||||||
Education | 2,946 | 3,336 | 3,822 | 4,454 | 5,159 | ||||||||||||||||||||||||||||||
Other consumer | 4,698 | 4,937 | 4,585 | 4,410 | 4,510 | ||||||||||||||||||||||||||||||
Total consumer | 74,725 | 79,241 | 73,963 | 73,019 | 72,878 | ||||||||||||||||||||||||||||||
Total loans | $ | 241,928 | $ | 239,843 | $ | 226,245 | $ | 220,458 | $ | 210,833 |
December 31, 2020
In millions |
1 Year or Less | 1 Through 5 Years | After 5 Years | Gross Loans | ||||||||||
Commercial and industrial | $ | 55,612 | $ | 71,124 | $ | 5,337 | $ | 132,073 | ||||||
Commercial real estate | 6,207 | 16,012 | 6,497 | 28,716 | ||||||||||
Total | $ | 61,819 | $ | 87,136 | $ | 11,834 | $ | 160,789 | ||||||
Loans with: | ||||||||||||||
Predetermined rate | $ | 17,439 | $ | 15,890 | $ | 5,815 | $ | 39,144 | ||||||
Floating or adjustable rate | 44,380 | 71,246 | 6,019 | 121,645 | ||||||||||
Total | $ | 61,819 | $ | 87,136 | $ | 11,834 | $ | 160,789 |
December 31
Dollars in millions |
2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||
Nonperforming loans | ||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||
Commercial and industrial | $ | 666 | $ | 425 | $ | 346 | $ | 429 | $ | 496 | ||||||||||||||||||||||
Commercial real estate | 224 | 44 | 75 | 123 | 143 | |||||||||||||||||||||||||||
Equipment lease financing | 33 | 32 | 11 | 2 | 16 | |||||||||||||||||||||||||||
Total commercial | 923 | 501 | 432 | 554 | 655 | |||||||||||||||||||||||||||
Consumer (a) | ||||||||||||||||||||||||||||||||
Home equity | 645 | 669 | 797 | 818 | 914 | |||||||||||||||||||||||||||
Residential real estate | 528 | 315 | 350 | 400 | 501 | |||||||||||||||||||||||||||
Automobile | 175 | 135 | 100 | 76 | 55 | |||||||||||||||||||||||||||
Credit card | 8 | 11 | 7 | 6 | 4 | |||||||||||||||||||||||||||
Other consumer | 7 | 4 | 8 | 11 | 15 | |||||||||||||||||||||||||||
Total consumer | 1,363 | 1,134 | 1,262 | 1,311 | 1,489 | |||||||||||||||||||||||||||
Total nonperforming loans (b) (c) | 2,286 | 1,635 | 1,694 | 1,865 | 2,144 | |||||||||||||||||||||||||||
OREO and foreclosed assets | 51 | 117 | 114 | 170 | 230 | |||||||||||||||||||||||||||
Total nonperforming assets | $ | 2,337 | $ | 1,752 | $ | 1,808 | $ | 2,035 | $ | 2,374 | ||||||||||||||||||||||
Nonperforming loans to total loans | 0.94 | % | 0.68 | % | 0.75 | % | 0.85 | % | 1.02 | % | ||||||||||||||||||||||
Nonperforming assets to total loans, OREO and foreclosed assets | 0.97 | % | 0.73 | % | 0.80 | % | 0.92 | % | 1.12 | % | ||||||||||||||||||||||
Nonperforming assets to total assets | 0.50 | % | 0.43 | % | 0.47 | % | 0.53 | % | 0.65 | % | ||||||||||||||||||||||
Troubled Debt Restructurings | ||||||||||||||||||||||||||||||||
Nonperforming | $ | 902 | $ | 843 | $ | 863 | $ | 964 | $ | 1,112 | ||||||||||||||||||||||
Performing | $ | 742 | $ | 821 | $ | 988 | $ | 1,097 | $ | 1,109 | ||||||||||||||||||||||
Past due loans | ||||||||||||||||||||||||||||||||
Accruing loans past due 90 days or more (d) (e) (f) | $ | 509 | $ | 585 | $ | 629 | $ | 737 | $ | 782 | ||||||||||||||||||||||
As a percentage of total loans | 0.21 | % | 0.24 | % | 0.28 | % | 0.33 | % | 0.37 | % | ||||||||||||||||||||||
Past due loans held for sale | ||||||||||||||||||||||||||||||||
Accruing loans held for sale past due 90 days or more (f) | $ | 4 | $ | 3 | $ | 4 | $ | 3 | $ | 4 | ||||||||||||||||||||||
As a percentage of total loans held for sale | 0.25 | % | 0.28 | % | 0.40 | % | 0.11 | % | 0.16 | % |
Year ended December 31
Dollars in millions |
2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||
Allowance for loan and lease losses | ||||||||||||||||||||||||||||||||
January 1 | $ | 2,742 | $ | 2,629 | $ | 2,611 | $ | 2,589 | $ | 2,727 | ||||||||||||||||||||||
Adoption of ASU 2016-13 (a) | 463 | |||||||||||||||||||||||||||||||
Gross charge-offs | ||||||||||||||||||||||||||||||||
Commercial and industrial | (382) | (183) | (108) | (186) | (332) | |||||||||||||||||||||||||||
Commercial real estate | (2) | (18) | (8) | (24) | (26) | |||||||||||||||||||||||||||
Equipment lease financing | (23) | (15) | (8) | (11) | (5) | |||||||||||||||||||||||||||
Home equity | (42) | (68) | (110) | (123) | (143) | |||||||||||||||||||||||||||
Residential real estate | (10) | (9) | (6) | (9) | (14) | |||||||||||||||||||||||||||
Credit card | (300) | (263) | (217) | (182) | (161) | |||||||||||||||||||||||||||
Other consumer (b) | (433) | (418) | (307) | (251) | (205) | |||||||||||||||||||||||||||
Total gross charge-offs | (1,192) | (974) | (764) | (786) | (886) | |||||||||||||||||||||||||||
Recoveries | ||||||||||||||||||||||||||||||||
Commercial and industrial | 75 | 59 | 67 | 81 | 117 | |||||||||||||||||||||||||||
Commercial real estate | 9 | 11 | 24 | 28 | 51 | |||||||||||||||||||||||||||
Equipment lease financing | 10 | 8 | 8 | 7 | 10 | |||||||||||||||||||||||||||
Home equity | 61 | 74 | 98 | 91 | 84 | |||||||||||||||||||||||||||
Residential real estate | 16 | 14 | 21 | 18 | 9 | |||||||||||||||||||||||||||
Credit card | 35 | 27 | 24 | 21 | 19 | |||||||||||||||||||||||||||
Other consumer (b) | 154 | 139 | 102 | 83 | 53 | |||||||||||||||||||||||||||
Total recoveries | 360 | 332 | 344 | 329 | 343 | |||||||||||||||||||||||||||
Net (charge-offs) | (832) | (642) | (420) | (457) | (543) | |||||||||||||||||||||||||||
Provision for credit losses - loans and leases | 2,985 | 773 | 408 | 441 | 433 | |||||||||||||||||||||||||||
Net decrease / (increase) in allowance for unfunded loan commitments and
letters of credit
|
(33) | 12 | 4 | (40) | ||||||||||||||||||||||||||||
Other | 3 | 15 | 18 | 34 | 12 | |||||||||||||||||||||||||||
December 31 | $ | 5,361 | $ | 2,742 | $ | 2,629 | $ | 2,611 | $ | 2,589 | ||||||||||||||||||||||
ALLL as a percentage of December 31: | ||||||||||||||||||||||||||||||||
Loans | 2.22 % | 1.14 | % | 1.16 | % | 1.18 | % | 1.23 | % | |||||||||||||||||||||||
Nonperforming loans (c) | 235 | % | 168 | % | 155 | % | 140 | % | 121 | % | ||||||||||||||||||||||
As a percentage of average loans: | ||||||||||||||||||||||||||||||||
Net charge-offs | 0.33 | % | 0.27 | % | 0.19 | % | 0.21 | % | 0.26 | % | ||||||||||||||||||||||
Provision for credit losses - loans and leases (c) | 1.18 | % | 0.33 | % | 0.18 | % | 0.20 | % | 0.21 | % | ||||||||||||||||||||||
ALLL (c) | 2.12 | % | 1.17 | % | 1.18 | % | 1.20 | % | 1.24 | % | ||||||||||||||||||||||
ALLL as a multiple of net charge-offs | 6.44x | 4.27x | 6.26x | 5.71x | 4.77x |
2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||||||||||||||||||
December 31
Dollars in millions |
Allowance |
Loans to
Total Loans |
Allowance |
Loans to
Total Loans |
Allowance |
Loans to
Total Loans |
Allowance |
Loans to
Total Loans |
Allowance |
Loans to
Total Loans |
|||||||||||||||||||||||||||||||||||||
Commercial and industrial | $ | 2,300 | 54.6 | % | $ | 1,489 | 52.3 | % | $ | 1,350 | 51.6 | % | $ | 1,302 | 50.1 | % | $ | 1,179 | 48.1 | % | |||||||||||||||||||||||||||
Commercial real estate | 880 | 11.9 | 278 | 11.7 | 271 | 12.4 | 244 | 13.1 | 320 | 13.8 | |||||||||||||||||||||||||||||||||||||
Equipment lease financing | 157 | 2.6 | 45 | 3.0 | 42 | 3.2 | 36 | 3.6 | 35 | 3.6 | |||||||||||||||||||||||||||||||||||||
Home equity | 313 | 10.0 | 87 | 10.5 | 204 | 11.6 | 284 | 12.9 | 357 | 14.2 | |||||||||||||||||||||||||||||||||||||
Residential real estate | 28 | 9.3 | 258 | 9.1 | 297 | 8.3 | 300 | 7.8 | 332 | 7.4 | |||||||||||||||||||||||||||||||||||||
Credit card | 816 | 2.6 | 288 | 3.0 | 239 | 2.8 | 220 | 2.6 | 181 | 2.5 | |||||||||||||||||||||||||||||||||||||
Other consumer (a) | 867 | 9.0 | 297 | 10.4 | 226 | 10.1 | 225 | 9.9 | 185 | 10.4 | |||||||||||||||||||||||||||||||||||||
Total | $ | 5,361 | 100.0 | % | $ | 2,742 | 100.0 | % | $ | 2,629 | 100.0 | % | $ | 2,611 | 100.0 | % | $ | 2,589 | 100.0 | % |
December 31, 2020 - in billions | Domestic Time Deposits | ||||
Three months or less | $ | 1.3 | |||
Over three through six months | 1.0 | ||||
Over six through twelve months | 1.5 | ||||
Over twelve months | 0.7 | ||||
Total | $ | 4.5 |
Transitional Basel III |
Fully Phased-In Basel III (Non-GAAP)
(estimated) (a) |
||||||||||||||||||||||
Dollars in millions |
December 31
2017 |
December 31
2016 |
December 31
2017 |
December 31
2016 |
|||||||||||||||||||
Common stock, related surplus and retained earnings, net of treasury stock | $ | 43,676 | $ | 41,987 | $ | 43,676 | $ | 41,987 | |||||||||||||||
Less regulatory capital adjustments: | |||||||||||||||||||||||
Goodwill and disallowed intangibles, net of deferred tax
liabilities |
(9,243) | (8,974) | (9,307) | (9,073) | |||||||||||||||||||
Basel III total threshold deductions | (1,983) | (762) | (2,928) | (1,469) | |||||||||||||||||||
Accumulated other comprehensive income (b) | (166) | (238) | (207) | (396) | |||||||||||||||||||
All other adjustments | (138) | (214) | (141) | (221) | |||||||||||||||||||
Basel III Common equity Tier 1 capital | $ | 32,146 | $ | 31,799 | $ | 31,093 | $ | 30,828 | |||||||||||||||
Basel III standardized approach risk-weighted assets (c) | $ | 309,460 | $ | 300,533 | $ | 316,120 | $ | 308,517 | |||||||||||||||
Basel III advanced approaches risk-weighted assets (d) | N/A | N/A | $ | 285,226 | $ | 277,896 | |||||||||||||||||
Basel III Common equity Tier 1 capital ratio | 10.4 | % | 10.6 | % | 9.8 | % | 10.0 | % | |||||||||||||||
Risk weight and associated rules utilized | Standardized (with 2017 transition adjustments) | Standardized (with 2016 transition adjustments) | Standardized |
ACH | Automated clearing house | GNMA | Government National Mortgage Association | |||||||||||
ACL | Allowance for credit losses | GSIB | Globally systemically important bank | |||||||||||
ALLL | Allowance for loan and lease losses | HPI | Home price index | |||||||||||
AML | Anti-Money Laundering | HQLA | High quality, unencumbered liquid assets | |||||||||||
AOCI | Accumulated other comprehensive income | ISDA | International Swaps and Dealer Association | |||||||||||
ASC | Accounting Standards Codification | ISP | The PNC Incentive Savings Plan | |||||||||||
ASF | Available stable funding | LCR | Liquidity Coverage Ratio | |||||||||||
ASU | Accounting Standards Update | LGD | Loss given default | |||||||||||
BEC | Business email compromise scams | LIBOR | London Interbank Offered Rate | |||||||||||
BHC | Bank holding company | LIHTC | Low income housing tax credit | |||||||||||
BHC Act | Bank Holding Company Act of 1956 | LLC | Limited liability company | |||||||||||
bps | Basis points | LTV | Loan-to-value ratio | |||||||||||
BSA | Bank Secrecy Act | MD&A | Management’s Discussion and Analysis of Financial Condition and Results of Operations | |||||||||||
CARES Act | Coronavirus Aid, Relief and Economic Security Act | MSR | Mortgage servicing right | |||||||||||
CCAR | Comprehensive Capital Analysis and Review | NAICS | North American Industry Classification System | |||||||||||
CECL | Current expected credit losses | NAV | Net asset value | |||||||||||
CECL RAC | PNC’s Current Expected Credit Losses Reserve Adequacy Committee | NSFR | Net Stable Funding Ratio | |||||||||||
CET1 | Common equity tier 1 | NYSE | New York Stock Exchange | |||||||||||
CFPB | Consumer Financial Protection Bureau | OCC | Office of the Comptroller of the Currency | |||||||||||
CFTC | Commodity Futures Trading Commission | OCI | Other comprehensive income | |||||||||||
CLTV | Combined loan-to-value ratio | OREO | Other real estate owned | |||||||||||
COSO | Committee of Sponsoring Organizations of the Treadway Commission | OTC | Over-the-counter | |||||||||||
CRA | Community Reinvestment Act | OTTI | Other than temporary impairment | |||||||||||
DDoS | Distributed denial of service cyber attacks | PCAOB | Public Company Accounting Oversight Board | |||||||||||
DFAST | Dodd-Frank capital stress testing | PCD | Purchased credit deteriorated | |||||||||||
DUS | Delegated Underwriting and Servicing program | PD | Probability of default | |||||||||||
EAD | Exposure at default | PPP | Paycheck Protection Program | |||||||||||
ERISA | Employee Retirement Income Security Act of 1974, as amended | ROAPs | Removal of account provisions | |||||||||||
ERM | Enterprise Risk Management | ROU | Right-of-use assets | |||||||||||
FASB | Financial Accounting Standards Board | RSF | Required stable funding | |||||||||||
FDI Act | Federal Deposit Insurance Act | SBA | Small Business Administration | |||||||||||
FDIC | Federal Deposit Insurance Corporation | SCB | Stress capital buffer | |||||||||||
FFIEC | Federal Financial Institutions Examination Council | SCCL | Single counterparty credit limit | |||||||||||
FHA | Federal Housing Administration | SEC | Securities and Exchange Commission | |||||||||||
FHLB | Federal Home Loan Bank | SLR | Supplementary leverage ratio | |||||||||||
FHLMC | Federal Home Loan Mortgage Corporation | SOFR | Secured Overnight Financing Rate | |||||||||||
FICO | Fair Isaac Corporation (credit score) | SPE | Special purpose entity | |||||||||||
FinCEN | Financial Crimes Enforcement Network | TDR | Troubled debt restructuring | |||||||||||
FINRA | Financial Industry Regulatory Authority | TLAC | Total loss-absorbing capacity | |||||||||||
FNMA | Federal National Mortgage Association | U.S. | United States of America | |||||||||||
FOMC | Federal Open Market Committee | USD | United States Dollar | |||||||||||
FSOC | Financial Stability Oversight Council | VA | Department of Veterans Affairs | |||||||||||
GAAP | Accounting principles generally accepted in the United States of America | VaR | Value-at-risk | |||||||||||
GDP | Gross Domestic Product | VEBA | Voluntary Employee Beneficiary Association | |||||||||||
GLB Act | Gramm-Leach-Bliley Act | VIE | Variable interest entity |
(a) | (b) | (c) | |||||||||||||||||||||
Number of securities to be issued upon exercise of outstanding options, warrants and rights | Weighted-average exercise price of outstanding options, warrants and rights (1) | Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) | |||||||||||||||||||||
Plan Category | |||||||||||||||||||||||
Equity compensation plans approved by security holders | 4,542,021 | (2) | $ | 62.26 | 27,349,791 | (3) | |||||||||||||||||
Equity compensation plans not approved by security holders | |||||||||||||||||||||||
Total | 4,542,021 | $ | 62.26 | 27,349,791 |
Exhibit
No. |
Description | Method of Filing + | ||||||||||||
2.1 |
|
Incorporated herein by reference to Exhibit 2.1 of the Corporation’s Current Report on Form 8-K filed November 19, 2020
|
||||||||||||
3.1.1 | Incorporated herein by reference to Exhibit 3.1 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2008 (2008 Form 10-K) | |||||||||||||
3.1.2 | Incorporated herein by reference to Exhibit 3.1 of the Corporation’s Current Report on Form 8-K filed July 27, 2011 | |||||||||||||
3.1.3 | Incorporated herein by reference to Exhibit 3.1 of the Corporation’s Current Report on Form 8-K filed April 24, 2012 | |||||||||||||
3.1.4 | Incorporated herein by reference to Exhibit 3.1 of the Corporation’s Current Report on Form 8-K filed September 21, 2012 | |||||||||||||
3.1.5 | Incorporated herein by reference to Exhibit 3.1 of the Corporation’s Current Report on Form 8-K filed May 7, 2013 | |||||||||||||
3.1.6 | Incorporated herein by reference to Exhibit 3.1.6 of the Corporation’s Current Report on Form 8-K filed November 20, 2015 | |||||||||||||
3.1.7 | Incorporated herein by reference to Exhibit 3.1 of the Corporation’s Current Report on Form 8-K filed November 1, 2016 | |||||||||||||
3.2 | Incorporated herein by reference to Exhibit 3.2 of the Corporation’s Current Report on Form 8-K filed August 11, 2016 | |||||||||||||
4.1 | There are no instruments with respect to long-term debt of the Corporation and its subsidiaries that involve a total amount of securities authorized thereunder that exceed 10 percent of the total assets of the Corporation and its subsidiaries on a consolidated basis. The Corporation agrees to provide the SEC with a copy of instruments defining the rights of holders of long-term debt of the Corporation and its subsidiaries on request. | |||||||||||||
Exhibit
No. |
Description | Method of Filing + | ||||||||||||
4.2 | Incorporated herein by reference to Exhibit 4.2 of the Corporation’s Current Report on Form 8-K filed July 27, 2011 | |||||||||||||
4.3 | Incorporated herein by reference to Exhibit 4.2 of the Corporation’s Current Report on Form 8-K filed April 24, 2012 | |||||||||||||
4.4 |
Incorporated herein by reference to Exhibit 4.2 of the Corporation’s Current Report on Form 8-K filed May 7, 2013
|
|||||||||||||
4.5 | Incorporated herein by reference to Exhibit 4.2 of the Corporation’s Current Report on Form 8-K filed November 1, 2016 | |||||||||||||
4.6 | Incorporated herein by reference to Exhibit 4.11 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2004 | |||||||||||||
4.7.1 | Incorporated herein by reference to Exhibit 4.25 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2013 (2013 Form 10-K) | |||||||||||||
4.7.2 | Incorporated herein by reference to Exhibit 4.21.2 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2015 (2nd Quarter 2015 Form 10-Q) | |||||||||||||
4.7.3 | Incorporated herein by reference to Exhibit 4.20.3 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2016 (2nd Quarter 2016 Form 10-Q) | |||||||||||||
4.8 | Incorporated herein by reference to Exhibit 4.25 of the Corporation’s 2013 Form 10-K | |||||||||||||
4.9 | Incorporated herein by reference to Exhibit 4.21.2 of the Corporation’s 2nd Quarter 2015 Form 10-Q | |||||||||||||
4.10
|
Filed herewith | |||||||||||||
10.1.1 | Incorporated herein by reference to Exhibit 10.2 of the Corporation’s 2008 Form 10-K* | |||||||||||||
10.1.2 | Incorporated herein by reference to Exhibit 10.3 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2009 (2009 Form 10-K)* | |||||||||||||
10.1.3 | Incorporated herein by reference to Exhibit 10.1.3 of the Corporation’s 2013 Form 10-K* | |||||||||||||
Exhibit
No. |
Description | Method of Filing + | ||||||||||||
10.2.1 | Incorporated herein by reference to Exhibit 10.4 of the Corporation’s 2008 Form 10-K* | |||||||||||||
10.2.2 | Incorporated herein by reference to Exhibit 10.6 of the Corporation’s 2009 Form 10-K* | |||||||||||||
10.2.3 | Incorporated herein by reference to Exhibit 10.8 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2011 (2011 Form 10-K)* | |||||||||||||
10.2.4 | Incorporated herein by reference to Exhibit 10.2.4 of the Corporation’s 2013 Form 10-K* | |||||||||||||
10.3.1 | Incorporated herein by reference to Exhibit 10.6 of the Corporation’s 2008 Form 10-K* | |||||||||||||
10.3.2 | Incorporated herein by reference to Exhibit 10.9 of the Corporation’s 2009 Form 10-K* | |||||||||||||
10.4.1 | Incorporated herein by reference to Exhibit 10.17 of the Corporation’s 2011 Form 10-K* | |||||||||||||
10.4.2 | Incorporated herein by reference to Exhibit 10.4.2 of the Corporation’s 2013 Form 10-K* | |||||||||||||
10.5.1 | Incorporated herein by reference to Exhibit 10.62 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2009* | |||||||||||||
10.5.2 | Incorporated herein by reference to Exhibit 10.17 of the Corporation’s 2009 Form 10-K* | |||||||||||||
10.5.3 | Incorporated herein by reference to Exhibit 10.20 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2010 (2010 Form 10-K)* | |||||||||||||
10.5.4 | Incorporated herein by reference to Exhibit 10.23 of the Corporation’s 2011 Form 10-K* | |||||||||||||
10.5.5 | Incorporated herein by reference to Exhibit 10.24 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2012 (2012 Form 10-K)* | |||||||||||||
10.5.6 | Incorporated herein by reference to Exhibit 10.5.6 of the Corporation’s 2013 Form 10-K* | |||||||||||||
10.6 |
Incorporated herein by reference to Exhibit 10.6.3 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2019*
|
|||||||||||||
10.7 | Incorporated herein by reference to Exhibit 99.1 of the Corporation’s Form S-8 (File No. 333-210995) filed April 29, 2016* | |||||||||||||
10.8.1 | Incorporated herein by reference to Exhibit 10.70 of the Corporation’s Quarterly Report on Form 1O-Q for the quarter ended March 31, 2011 (1st Quarter 2011 Form 10-Q)* | |||||||||||||
10.8.2 | Incorporated herein by reference to Exhibit 10.28 of the Corporation’s 2011 Form 10-K* | |||||||||||||
Exhibit
No. |
Description | Method of Filing + | ||||||||||||
10.9 | Incorporated herein by reference to Exhibit 10.52 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2014* | |||||||||||||
10.10 | Incorporated herein by reference to Exhibit 10.16 of the Corporation’s 2016 Form 10-K* | |||||||||||||
10.11 | Incorporated herein by reference to Exhibit 10.15 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2017* | |||||||||||||
10.12 | Incorporated herein by reference to Exhibit 10.34 of the Corporation’s 3rd Quarter 2005 Form 10-Q* | |||||||||||||
10.13 | Incorporated herein by reference to Exhibit 10.37 of the Corporation’s 2011 Form 10-K* | |||||||||||||
10.14 |
Incorporated herein by reference to Exhibit 4.4 of the Corporation’s Form S-8 (File No. 333-238049) filed May 6, 2020*
|
|||||||||||||
10.15 |
|
Incorporated herein by reference to Exhibit 10.71 of the Corporation’s 1st Quarter 2011 Form 10-Q* | ||||||||||||
10.16 |
|
Incorporated herein by reference to Exhibit 10.77 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2012 (1st Quarter 2012 Form 10-Q)*
|
||||||||||||
10.17 |
Incorporated herein by reference to Exhibit 10.78 of the Corporation’s 1st Quarter 2012 Form 10-Q*
|
|||||||||||||
10.18 | Incorporated herein by reference to Exhibit 10.64 of the Corporation’s 2012 Form 10-K* | |||||||||||||
10.19 |
|
Incorporated herein by reference to Exhibit 10.82 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2013* | ||||||||||||
10.20 | Incorporated herein by reference to Exhibit 10.56 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2017 (2nd Quarter 2017 Form 10-Q)* | |||||||||||||
10.21 |
|
Incorporated herein by reference to Exhibit 10.58 of the Corporation’s 2nd Quarter 2017 Form 10-Q* | ||||||||||||
10.22 |
|
Incorporated herein by reference to Exhibit 10.50 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2018 (2nd Quarter 2018 Form 10-Q)* | ||||||||||||
10.23 |
|
Incorporated herein by reference to Exhibit 10.51 of the Corporation’s 2nd Quarter 2018 Form 10-Q* | ||||||||||||
10.24 | Incorporated herein by reference to Exhibit 10.52 of the Corporation’s 2nd Quarter 2018 Form 10-Q* | |||||||||||||
10.25 |
|
Incorporated herein by reference to Exhibit 10.45 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2019 (3rd Quarter 2019 Form 10-Q)*
|
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10.26 | Incorporated herein by reference to Exhibit 10.46 of the Corporation’s 3rd Quarter 2019 Form 10-Q* | |||||||||||||
10.27 |
|
Incorporated herein by reference to Exhibit 10.47 of the Corporation’s 3rd Quarter 2019 Form 10-Q*
|
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Exhibit
No. |
Description | Method of Filing + | ||||||||||||
10.28 |
|
Incorporated herein by reference to Exhibit 10.39 of the Corporation’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2020 (2nd Quarter 2020 Form 10-Q)* | ||||||||||||
10.29 |
|
Incorporated herein by reference to Exhibit 10.40 of the Corporation’s 2nd Quarter 2020 Form 10-Q*
|
||||||||||||
10.30 |
|
Incorporated herein by reference to Exhibit 10.41 of the Corporation’s 2nd Quarter 2020 Form 10-Q*
|
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10.31.1 |
Filed herewith*
|
|||||||||||||
10.31.2 | Filed herewith* | |||||||||||||
10.32 | Incorporated herein by reference to Exhibit 10.51 of the Corporation’s Current Report on Form 8-K filed August 16, 2016* | |||||||||||||
10.33.1 | Incorporated herein by reference to Exhibit 10.35 of National City Corporation’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2006* | |||||||||||||
10.33.2 | Incorporated herein by reference to Exhibit 10.56 of the Corporation’s 2010 Form 10-K* | |||||||||||||
10.34.1 | Incorporated by reference to Exhibit 10.47 of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2014 | |||||||||||||
10.34.2 | Incorporated herein by reference to Exhibit 10.47.2 of the Corporation’s 2nd Quarter 2015 Form 10-Q | |||||||||||||
10.34.3 | Incorporated herein by reference to Exhibit 10.48.3 of the Corporation’s 2nd Quarter 2016 Form 10-Q | |||||||||||||
21 | Filed herewith | |||||||||||||
23.1 | Filed herewith | |||||||||||||
23.2 | Filed herewith | |||||||||||||
24 | Filed herewith | |||||||||||||
31.1 | Filed herewith | |||||||||||||
31.2 | Filed herewith | |||||||||||||
32.1 | Furnished herewith | |||||||||||||
Exhibit
No. |
Description | Method of Filing + | ||||||||||||
32.2 | Furnished herewith | |||||||||||||
99.1 |
Filed herewith
|
|||||||||||||
101.INS | Inline XBRL Instance Document | Filed herewith** | ||||||||||||
101.SCH | Inline XBRL Taxonomy Extension Schema Document | Filed herewith | ||||||||||||
101.CAL |
Inline XBRL Taxonomy Extension Calculation Linkbase Document
|
Filed herewith | ||||||||||||
101.LAB |
Inline XBRL Taxonomy Extension Label Linkbase Document
|
Filed herewith | ||||||||||||
101.PRE |
Inline XBRL Taxonomy Extension Presentation Linkbase Document
|
Filed herewith | ||||||||||||
101.DEF |
Inline XBRL Taxonomy Extension Definition Linkbase Document
|
Filed herewith | ||||||||||||
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |
+ | Incorporated document references to filings by the Corporation are to SEC File No. 001-09718, and to filings by National City Corporation are to SEC File No. 001-10074. | ||||
* | Denotes management contract or compensatory plan. | ||||
**
|
The instance document does not appear in the interactive data file because its XBRL tags are embedded within the inline XBRL. |
By: | /s/ Robert Q. Reilly | |||||||
Robert Q. Reilly | ||||||||
Executive Vice President and Chief Financial Officer | ||||||||
February 26, 2021 |
Signature | Capacities | |||||||
/s/ William S. Demchak | Chairman, President, Chief Executive Officer and Director | |||||||
William S. Demchak | (Principal Executive Officer) | |||||||
/s/ Robert Q. Reilly | Executive Vice President and Chief Financial Officer | |||||||
Robert Q. Reilly | (Principal Financial Officer) | |||||||
/s/ Gregory H. Kozich | Senior Vice President and Controller | |||||||
Gregory H. Kozich | (Principal Accounting Officer) | |||||||
* Joseph Alvarado; Charles E. Bunch; Debra A. Cafaro; Marjorie Rodgers Cheshire; David Cohen; Andrew T. Feldstein; Richard J. Harshman; Daniel R. Hesse; Linda R. Medler, Martin Pfinsgraff; Toni Townes-Whitley; Michael J. Ward | Directors |
*By: | /s/ Alicia Powell | |||||||
Alicia Powell, Attorney-in-Fact,
pursuant to Powers of Attorney filed herewith |
/s/ William S. Demchak
|
|||||
William S. Demchak | |||||
Chairman, President and Chief Executive Officer |
/s/ Robert Q. Reilly | |||||
Robert Q. Reilly | |||||
Executive Vice President and Chief Financial Officer |
/s/ William S. Demchak | |||||
William S. Demchak | |||||
Chairman, President and Chief Executive Officer |
|
|||||
/s/ Robert Q. Reilly | |||||
Robert Q. Reilly | |||||
Executive Vice President and Chief Financial Officer |