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Business Segment Information | 6 Months Ended
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Jun. 30, 2022
Segment Reporting [Abstract] |
Business Segment Information | BUSINESS SEGMENT INFORMATION As of December 31, 2021, BancShares managed its business and reported its financial results as a single segment. BancShares began reporting multiple segments during the first quarter of 2022. BancShares now has three operating segments: General Banking, Commercial Banking, and Rail, and a non-operating segment, Corporate. BancShares conformed the comparative prior periods presented to reflect the new segments. The substantial majority of BancShares’ operations for historical periods prior to completion of the CIT Merger are included in the General Banking segment. The Commercial Banking and Rail segments primarily relate to operations acquired in the CIT Merger. BancShares' reportable segments are primarily based upon industry categories, target markets, distribution channels and customers served, and, to a lesser extent, the core competencies relating to product origination, operations and servicing and the nature of their regulatory environment. Segment reporting is reflective of BancShares' internal reporting structure and is consistent with the presentation of financial information to the chief operating decision maker. Each of the segments are described below. General Banking General Banking delivers services to individuals and businesses through an extensive branch network, digital banking, telephone banking and various ATM networks, including a full suite of deposit products, loans (primarily residential mortgages and commercial loans), and various fee-based services. General Banking also provides: a variety of wealth management products and services to individuals and institutional clients, including brokerage, investment advisory, and trust services; and deposit, cash management and lending to homeowner associations (“HOA”) and property management companies. As part of the CIT Merger, Community Association Banking (“CAB”) products were added that will drive the associated HOA deposit channel. Revenue is primarily generated from interest earned on residential mortgages, small business loans and fees for banking services. Commercial Banking Commercial Banking provides lending, leasing and other financial and advisory services, primarily to small and middle-market companies across select industries. Commercial Banking also provides asset-based lending, factoring, receivables management products and supply chain financing. Revenue is primarily generated from interest earned on loans, rents on equipment leased, fees and other revenue from lending and leasing activities and banking services, along with capital markets transactions and commissions earned on factoring and related activities. Rail Rail offers customized leasing and financing solutions on a fleet of railcars and locomotives to railroads and shippers throughout North America. Railcar types include covered hopper cars used to ship grain and agricultural products, plastic pellets, sand, and cement; tank cars for energy products and chemicals; gondolas for coal, steel coil and mill service products; open hopper cars for coal and aggregates; boxcars for paper and auto parts, and center beams and flat cars for lumber. Revenue is primarily from operating lease income. Corporate Certain items that are not allocated to operating segments are included in the Corporate segment. Some of the more significant and recurring items include interest income on investment securities, a portion of interest expense primarily related to corporate funding costs (including brokered deposits), income on BOLI (other noninterest income), merger-related costs, as well as certain unallocated costs and intangible asset amortization expense (operating expenses). Corporate also includes certain significant items that are infrequent, such as: the Initial Non-PCD Provision for loans and leases and unfunded commitments; and the preliminary gain on acquisition, each of which are related to the CIT Merger. Segment Profit (Loss) and Select Period End Balances The following table presents the condensed income statement by segment.
| Three Months Ended June 30, 2022
dollars in millions | General Banking |  | Commercial Banking |  | Rail |  | Corporate |  | Total BancShares
Net interest income | $ | 467 |  |  | $ | 204 |  |  | $ | (18) |  |  | $ | 47 |  |  | $ | 700 |
Provision for credit losses | 7 |  |  | 35 |  |  | — |  |  | — |  |  | 42 |
Net interest income after provision for credit losses | 460 |  |  | 169 |  |  | (18) |  |  | 47 |  |  | 658 |
Noninterest income | 125 |  |  | 130 |  |  | 160 |  |  | 9 |  |  | 424 |
Noninterest expenses | 390 |  |  | 180 |  |  | 111 |  |  | 64 |  |  | 745 |
Income (loss) before income taxes | 195 |  |  | 119 |  |  | 31 |  |  | (8) |  |  | 337 |
Income tax expense | 40 |  |  | 24 |  |  | 7 |  |  | 11 |  |  | 82 |
Net income (loss) | $ | 155 |  |  | $ | 95 |  |  | $ | 24 |  |  | $ | (19) |  |  | $ | 255 |
Select Period End Balances |  |  |  |  |  |  |  |  |
Loans and leases | $ | 40,444 |  |  | $ | 27,220 |  |  | $ | 71 |  |  | $ | — |  |  | $ | 67,735 |
Deposits | 83,535 |  |  | 4,449 |  |  | 11 |  |  | 1,334 |  |  | 89,329 |
Operating lease equipment, net | — |  |  | 724 |  |  | 7,247 |  |  | — |  |  | 7,971 |
| Three Months Ended June 30, 2021
dollars in millions | General Banking |  | Commercial Banking |  | Rail |  | Corporate |  | Total BancShares
Net interest income | $ | 363 |  |  | $ | 4 |  |  | $ | — |  |  | $ | (21) |  |  | $ | 346 |
Benefit for credit losses | (21) |  |  | 1 |  |  | — |  |  | — |  |  | (20) |
Net interest income (loss) after benefit for credit losses | 384 |  |  | 3 |  |  | — |  |  | (21) |  |  | 366 |
Noninterest income | 104 |  |  | — |  |  | — |  |  | 29 |  |  | 133 |
Noninterest expenses | 289 |  |  | 1 |  |  | — |  |  | 10 |  |  | 300 |
Income before income taxes | 199 |  |  | 2 |  |  | — |  |  | (2) |  |  | 199 |
Income tax expense | 46 |  |  | — |  |  | — |  |  | — |  |  | 46 |
Net income | $ | 153 |  |  | $ | 2 |  |  | $ | — |  |  | $ | (2) |  |  | $ | 153 |
Select Period End Balances |  |  |  |  |  |  |  |  |
Loans and leases | $ | 32,033 |  |  | $ | 657 |  |  | $ | — |  |  | $ | — |  |  | $ | 32,690 |
Deposits | 48,344 |  |  | 66 |  |  | — |  |  | 1 |  |  | 48,411 |
Operating lease equipment, net | — |  |  | — |  |  | — |  |  | — |  |  | — |
| Six Months Ended June 30, 2022
dollars in millions | General Banking |  | Commercial Banking |  | Rail |  | Corporate |  | Total BancShares
Net interest income | $ | 904 |  |  | $ | 411 |  |  | $ | (37) |  |  | $ | 71 |  |  | $ | 1,349 |
(Benefit) provision for credit losses | (8) |  |  | 1 |  |  | — |  |  | 513 |  |  | 506 |
Net interest income after provision for credit losses | 912 |  |  | 410 |  |  | (37) |  |  | (442) |  |  | 843 |
Noninterest income | 248 |  |  | 242 |  |  | 322 |  |  | 462 |  |  | 1,274 |
Noninterest expenses | 799 |  |  | 371 |  |  | 211 |  |  | 174 |  |  | 1,555 |
Income (loss) before income taxes | 361 |  |  | 281 |  |  | 74 |  |  | (154) |  |  | 562 |
Income tax expense (benefit) | 80 |  |  | 65 |  |  | 18 |  |  | (127) |  |  | 36 |
Net income (loss) | $ | 281 |  |  | $ | 216 |  |  | $ | 56 |  |  | $ | (27) |  |  | $ | 526 |
| Six Months Ended June 30, 2021
dollars in millions | General Banking |  | Commercial Banking |  | Rail |  | Corporate |  | Total BancShares
Net interest income | $ | 707 |  |  | $ | 8 |  |  | $ | — |  |  | $ | (29) |  |  | $ | 686 |
(Benefit) provision for credit losses | (32) |  |  | 1 |  |  | — |  |  | — |  |  | (31) |
Net interest income (loss) after benefit for credit losses | 739 |  |  | 7 |  |  | — |  |  | (29) |  |  | 717 |
Noninterest income | 214 |  |  | — |  |  | — |  |  | 56 |  |  | 270 |
Noninterest expenses | 579 |  |  | 2 |  |  | — |  |  | 16 |  |  | 597 |
Income before income taxes | 374 |  |  | 5 |  |  | — |  |  | 11 |  |  | 390 |
Income tax expense | 86 |  |  | 1 |  |  | — |  |  | 3 |  |  | 90 |
Net income | $ | 288 |  |  | $ | 4 |  |  | $ | — |  |  | $ | 8 |  |  | $ | 300 |

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
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