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Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2024

Fair Value Disclosures [Abstract]

Fair Value, Assets Measured on Recurring Basis [Table Text Block]

The following table presents assets and liabilities measured at estimated fair value on a recurring basis:

			March 31, 2024																											December 31, 2023
			Level 1						Level 2						Level 3 (1)						Total Estimated Fair Value									Level 1						Level 2						Level 3 (1)						Total Estimated Fair Value
			(In millions)
Recurring fair value measurements
Debt securities available for sale:
U.S. Treasury securities			$	1,110					$	—					$	—					$	1,110								$	1,223					$	—					$	—					$	1,223
Federal agency securities			—						545						—						545									—						1,043						—						1,043
Obligations of states and political subdivisions			—						2						—						2									—						2						—						2
Mortgage-backed securities:
Residential agency			—						18,350						—						18,350									—						17,372						—						17,372
Commercial agency			—						6,777						—						6,777									—						7,307						—						7,307
Commercial non-agency			—						82						—						82									—						83						—						83
Corporate and other debt securities			—						1,012						3						1,015									—						1,073						1						1,074
Total debt securities available for sale			$	1,110					$	26,768					$	3					$	27,881								$	1,223					$	26,880					$	1					$	28,104
Loans held for sale			$	—					$	259					$	—					$	259								$	—					$	201					$	—					$	201
Marketable equity securities in other earning assets			$	747					$	—					$	—					$	747								$	813					$	—					$	—					$	813
Residential mortgage servicing rights			$	—					$	—					$	1,026					$	1,026								$	—					$	—					$	906					$	906
Derivative assets (2):
Interest rate swaps			$	—					$	1,965					$	—					$	1,965								$	—					$	1,813					$	—					$	1,813
Interest rate options			—						66						10						76									—						83						4						87
Interest rate futures and forward commitments			—						10												10									—						7						—						7
Other contracts			—						180						—						180															198						—						198
Total derivative assets			$	—					$	2,221					$	10					$	2,231								$	—					$	2,101					$	4					$	2,105
Derivative liabilities (2):
Interest rate swaps			$	—					$	2,869					$	—					$	2,869								$	—					$	2,419					$	—					$	2,419
Interest rate options			—						62						—						62									—						70						—						70
Interest rate futures and forward commitments			—						1						—						1									—						12						—						12
Other contracts			—						164						—						164									—						189						1						190
Total derivative liabilities			$	—					$	3,096					$	—					$	3,096								$	—					$	2,690					$	1					$	2,691

_________

(1)All following disclosures related to Level 3 recurring assets do not include those deemed to be immaterial at March 31, 2024 and December 31, 2023.

(2)As permitted under U.S. GAAP, variation margin collateral payments made or received for derivatives that are centrally cleared are legally characterized as settled. As such, these derivative assets and derivative liabilities and the related variation margin collateral are presented on a net basis on the balance sheet.

Rollforward For Assets And Liabilities Measured At Fair Value On A Recurring Basis With Level 3 Significant Unobservable Inputs

Summary Of Quantitative Information About Level 3 Measurements

The following tables present detailed information regarding material assets and liabilities measured at fair value using significant unobservable inputs (Level 3) as of March 31, 2024 and December 31, 2023. The tables include the valuation techniques and the significant unobservable inputs utilized. The range of each significant unobservable input as well as the weighted-average within the range utilized at March 31, 2024 and December 31, 2023 are included. Following the tables are descriptions of the valuation techniques and the sensitivity of the techniques to changes in the significant unobservable inputs.

March 31, 2024

Level 3 Estimated Fair Value

Valuation Technique

Unobservable Input(s)

Quantitative Range of Unobservable Inputs and (Weighted-Average)

(Dollars in millions)

Recurring fair value measurements:

Residential mortgage servicing rights (1)

$1,026

Discounted cash flow

Weighted-average CPR (%)

3.9% - 28.0% (8.2%)

OAS (%)

4.6% - 8.2% (4.9%)

_________

(1)See Note 5 for additional disclosures related to assumptions used in the fair value calculation for residential mortgage servicing rights.

December 31, 2023

Level 3 Estimated Fair Value

Valuation Technique

Unobservable Input(s)

Quantitative Range of Unobservable Inputs and (Weighted-Average)

(Dollars in millions)

Recurring fair value measurements:

Residential mortgage servicing rights (1)

$906

Discounted cash flow

Weighted-average CPR (%)

5.6% - 21.5% (8.2%)

OAS (%)

4.5% -8.2% (4.8%)

_______

(1)See Note 6 to the consolidated financial statements of the Annual Report on Form 10-K for the year ended December 31, 2023 for additional disclosures related to assumptions used in the fair value calculation for residential mortgage servicing rights.

Schedule Of Carrying Amounts And Estimated Fair Values Of Financial Instruments

The carrying amounts and estimated fair values, as well as the level within the fair value hierarchy, of the Company’s financial instruments as of March 31, 2024 are as follows:

			March 31, 2024
			Carrying Amount						Estimated Fair Value(1)						Level 1						Level 2						Level 3
			(In millions)
Financial assets:
Cash and cash equivalents			$	11,250					$	11,250					$	11,250					$	—					$	—
Debt securities held to maturity			743						701						—						701						—
Debt securities available for sale			27,881						27,881						1,110						26,768						3
Loans held for sale			417						417						—						414						3
Loans (excluding leases), net of unearned income and allowance for loan losses(2)(3)			93,557						89,366						—						—						89,366
Other earning assets			1,478						1,478						747						731						—
Derivative assets			2,231						2,231						—						2,221						10
Financial liabilities:
Derivative liabilities			3,096						3,096						—						3,096						—
Deposits with no stated maturity(4)			113,529						113,529						—						113,529						—
Time deposits(4)			15,453						15,391						—						15,391						—
Short-term borrowings			1,000						1,000						—						1,000						—
Long-term borrowings			3,327						3,319						—						3,318						1
Loan commitments and letters of credit			145						145						—						—						145

_________

(1)Estimated fair values are consistent with an exit price concept. The assumptions used to estimate the fair values are intended to approximate those that a market participant would use in a hypothetical orderly transaction. In estimating fair value, the Company makes adjustments for estimated changes in interest rates, market liquidity and credit spreads in the periods they are deemed to have occurred.

(2)The estimated fair value of portfolio loans assumes sale of the loans to a third-party financial investor. Accordingly, the value to the Company if the loans were held to maturity is not reflected in the fair value estimate. The fair value discount on the loan portfolio's net carrying amount at March 31, 2024 was $4.2 billion or 4.5 percent.

(3)Excluded from this table is the sales-type, direct financing, and leveraged lease carrying amount of $1.7 billion at March 31, 2024.

(4)The fair value of non-interest-bearing demand accounts, interest-bearing checking accounts, savings accounts, and money market accounts is the amount payable on demand at the reporting date (i.e., the carrying amount) as these instruments have an indeterminate maturity date. Fair values for time deposits are estimated by using discounted cash flow analyses, based on market spreads to benchmark rates.

The carrying amounts and estimated fair values, as well as the level within the fair value hierarchy, of the Company's financial instruments as of December 31, 2023 are as follows:

			December 31, 2023
			Carrying Amount						Estimated Fair Value(1)						Level 1						Level 2						Level 3
			(In millions)
Financial assets:
Cash and cash equivalents			$	6,801					$	6,801					$	6,801					$	—					$	—
Debt securities held to maturity			754						716						—						716						—
Debt securities available for sale			28,104						28,104						1,223						26,880						1
Loans held for sale			400						400						—						397						3
Loans (excluding leases), net of unearned income and allowance for loan losses(2)(3)			95,141						91,352						—						—						91,352
Other earning assets			1,417						1,417						813						604						—
Derivative assets			2,105						2,105						—						2,101						4
Financial liabilities:
Derivative liabilities			2,691						2,691						—						2,690						1
Deposits with no stated maturity(4)			112,816						112,816						—						112,816						—
Time deposits(4)			14,972						14,905						—						14,905						—
Long-term borrowings			2,330						2,319						—						2,318						1
Loan commitments and letters of credit			156						156						—						—						156

_________

(1)Estimated fair values are consistent with an exit price concept. The assumptions used to estimate the fair values are intended to approximate those that a market participant would use in a hypothetical orderly transaction. In estimating fair value, the Company makes adjustments for estimated changes in interest rates, market liquidity and credit spreads in the periods they are deemed to have occurred.

(2)The estimated fair value of portfolio loans assumes sale of the loans to a third-party financial investor. Accordingly, the value to the Company if the loans were held to maturity is not reflected in the fair value estimate. The fair value discount on the loan portfolio's net carrying amount at December 31, 2023 was $3.8 billion or 4.0 percent.

(3)Excluded from this table is the sales-type, direct financing, and leveraged lease carrying amount of $1.7 billion at December 31, 2023.

(4)The fair value of non-interest-bearing demand accounts, interest-bearing checking accounts, savings accounts, and money market accounts is the amount payable on demand at the reporting date (i.e., the carrying amount) as these instruments have an indeterminate maturity date. Fair values for time deposits are estimated by using discounted cash flow analyses, based on market spreads to benchmark rates.

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Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis.

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Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

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