XML 31 R21.htm IDEA: XBRL DOCUMENT
v3.22.2

Derivative Financial Instruments | 6 Months Ended
--- | ---
Jun. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Derivative Financial Instruments | DERIVATIVE FINANCIAL INSTRUMENTS BancShares acquired various derivative financial instruments in the CIT Merger. The following table presents notional amount and fair value of derivative financial instruments on a gross basis. Notional Amount and Fair Value of Derivative Financial Instruments
| June 30, 2022
dollars in millions | Notional Amount |  | Asset Fair Value |  | Liability Fair Value
Derivatives not designated as hedging instruments (Non-qualifying hedges) |  |  |  |  |
Interest rate contracts(1)(3) | $ | 19,174 |  |  | $ | 76 |  |  | $ | (305) |
Foreign exchange contracts | 176 |  |  | 4 |  |  | (3) |
Other contracts(2) | 796 |  |  | — |  |  | — |
Total derivatives not designated as hedging instruments | 20,146 |  |  | 80 |  |  | (308) |
Gross derivatives fair values presented in the Consolidated Balance Sheets | $ | 20,146 |  |  | 80 |  |  | (308) |
Less: Gross amounts offset in the Consolidated Balance Sheets |  |  | — |  |  | — |
Net amount presented in the Consolidated Balance Sheet |  |  | 80 |  |  | (308) |
Less: Amounts subject to master netting agreements(4) |  |  | (8) |  |  | 8 |
Less: Cash collateral pledged(received) subject to master netting agreements(5) |  |  | (61) |  |  | — |
Total net derivative fair value |  |  | $ | 11 |  |  | $ | (300) |
(1)Fair value balances include accrued interest. (2)Other derivative contracts not designated as hedging instruments include risk participation agreements. (3)BancShares accounts for swap contracts cleared by the Chicago Mercantile Exchange and LCH Clearnet as “settled-to-market”. As a result, variation margin payments are characterized as settlement of the derivative exposure and variation margin balances are netted against the corresponding derivative mark-to-market balances. Gross amounts of recognized assets and liabilities were lowered by $286 million and $21 million, respectively at June 30, 2022. (4)BancShares’ derivative transactions are governed by International Swaps and Derivatives Association (“ISDA”) agreements that allow for net settlements of certain payments as well as offsetting of all contracts with a given counterparty in the event of bankruptcy or default of one of the two parties to the transaction. BancShares believes its ISDA agreements meet the definition of a master netting arrangement or similar agreement for purposes of the above disclosure. (5)In conjunction with the ISDA agreements described above, BancShares has entered into collateral arrangements with its counterparties, which provide for the exchange of cash depending on change in the market valuation of the derivative contracts outstanding. Such collateral is available to be applied in settlement of the net balances upon an event of default of one of the counterparties. Collateral pledged or received is included in other assets or other liabilities, respectively. Non-Qualifying Hedges The following table presents gains of non-qualifying hedges recognized on the Condensed Consolidated Statements of Income: Gains on Non-Qualifying Hedges
|  |  | Three Months Ended June 30, |  | Six Months Ended June 30,
dollars in millions | Amounts Recognized |  | 2022 |  | 2021 |  | 2022 |  | 2021
Interest rate contracts | Other noninterest income |  | $ | 2 |  |  | $ | — |  |  | $ | 6 |  |  | $ | — |
Foreign currency forward contracts | Other noninterest income |  | 6 |  |  | — |  |  | 6 |  |  | — |
Total non-qualifying hedges - income statement impact |  |  | $ | 8 |  |  | $ | — |  |  | $ | 12 |  |  | $ | — |

X
- References No definition available. + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -URI https://asc.fasb.org/topic&trid=2229140 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 40 -Section 50 -Paragraph 5 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126731327&loc=d3e90205-114008 + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration