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Fair Value Measurements
 9 Months Ended
Sep. 30, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements FAIR VALUE MEASUREMENTS
The Corporation utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. The determination of fair values of financial instruments often requires the use of estimates. In cases where quoted market values in an active market are not available, the Corporation uses present value techniques and other valuation methods to estimate the fair values of its financial instruments. These valuation methods require considerable judgment and the resulting estimates of fair value can be significantly affected by the assumptions made and methods used.
Investment securities available-for-sale, derivatives, deferred compensation plans and equity securities with readily determinable fair values (primarily money market mutual funds) are recorded at fair value on a recurring basis. Additionally, from time to time, the Corporation may be required to record other assets and liabilities at fair value on a nonrecurring basis, such as impaired loans, other real estate (primarily foreclosed property), nonmarketable equity securities and certain other assets and liabilities. These nonrecurring fair value adjustments typically involve write-downs of individual assets or application of lower of cost or fair value accounting.
Refer to Note 1 to the consolidated financial statements in the Corporation's 2022 Annual Report for further information about the fair value hierarchy, descriptions of the valuation methodologies and key inputs used to measure financial assets and liabilities recorded at fair value, as well as a description of the methods and significant assumptions used to estimate fair value disclosures for financial instruments not recorded at fair value in their entirety on a recurring basis.
Assets and Liabilities Recorded at Fair Value on a Recurring Basis
The following tables present the recorded amount of assets and liabilities measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022.
(in millions)TotalLevel 1Level 2Level 3
September 30, 2023
Deferred compensation plan assets$97 $97 $— $— 
Equity securities45 45 — — 
Investment securities available-for-sale:
U.S. Treasury securities1,681 1,681 — — 
Residential mortgage-backed securities (a)10,174 — 10,174 — 
Commercial mortgage-backed securities (a)4,468 — 4,468 — 
Total investment securities available-for-sale16,323 1,681 14,642 — 
Derivative assets:
Interest rate contracts303 — 303 — 
Energy contracts825 — 825 — 
Foreign exchange contracts50 — 50 — 
Total derivative assets1,178 — 1,178 — 
Total assets at fair value$17,643 $1,823 $15,820 $— 
Derivative liabilities:
Interest rate contracts$660 $— $660 $— 
Energy contracts805 — 805 — 
Foreign exchange contracts43 — 43 — 
Other financial derivative liabilities13 — — 13 
Total derivative liabilities1,521 — 1,508 13 
Deferred compensation plan liabilities97 97 — — 
Total liabilities at fair value$1,618 $97 $1,508 $13 
December 31, 2022
Deferred compensation plan assets$92 $92 $— $— 
Equity securities44 44 — — 
Investment securities available-for-sale:
U.S. Treasury securities2,664 2,664 — — 
Residential mortgage-backed securities (a)11,655 — 11,655 — 
Commercial mortgage-backed securities (a)4,693 — 4,693 — 
Total investment securities available-for-sale19,012 2,664 16,348 — 
Derivative assets:
Interest rate contracts206 — 206 — 
Energy contracts1,020 — 1,020 — 
Foreign exchange contracts53 — 53 — 
Total derivative assets1,279 — 1,279 — 
Total assets at fair value$20,427 $2,800 $17,627 $— 
Derivative liabilities:
Interest rate contracts$644 $— $644 $— 
Energy contracts1,006 — 1,006 — 
Foreign exchange contracts45 — 45 — 
Other financial derivative liabilities12 — — 12 
Total derivative liabilities1,707 — 1,695 12 
Deferred compensation plan liabilities92 92 — — 
Total liabilities at fair value$1,799 $92 $1,695 $12 
(a)Issued and/or guaranteed by U.S. government agencies or U.S. government-sponsored enterprises.
    There were no transfers of assets or liabilities recorded at fair value on a recurring basis into or out of Level 3 fair value measurements during each of the three- and nine-month periods ended September 30, 2023 and 2022.
The following table summarizes the changes in Level 3 assets and liabilities measured at fair value on a recurring basis for the three- and nine-month periods ended September 30, 2023 and 2022.
Net Realized/Unrealized Gains (Losses) (Pretax) Recorded in Earnings (a)
(in millions)Balance at Beginning of PeriodRealizedUnrealizedSettlementsBalance at End of Period
Three Months Ended September 30, 2023
Derivative liabilities:
Other financial derivative liabilities$(14)$— $1 $— $(13)
Three Months Ended September 30, 2022
Derivative liabilities:
Other financial derivative liabilities(12)— — — (12)
Nine Months Ended September 30, 2023
Derivative liabilities:
Other financial derivative liabilities(12)— (1)— (13)
Nine Months Ended September 30, 2022
Derivative assets:
Interest rate contracts$26 $— $— $(26)$— 
Derivative liabilities:
Other financial derivative liabilities(13)— 1 — (12)
(a)Realized and unrealized gains and losses due to changes in fair value are recorded in other noninterest income on the Consolidated Statements of Comprehensive Income.
Assets and Liabilities Recorded at Fair Value on a Nonrecurring Basis
The Corporation may be required to record certain assets and liabilities at fair value on a nonrecurring basis. These include assets that are recorded at the lower of cost or fair value, and were recognized at fair value since it was less than cost at the end of the period.
The following table presents assets recorded at fair value on a nonrecurring basis at September 30, 2023 and December 31, 2022. No liabilities were recorded at fair value on a nonrecurring basis at September 30, 2023 and December 31, 2022.
(in millions)Level 3
September 30, 2023
Loans:
Commercial$27 
Real estate construction2 
Commercial mortgage3 
International2 
Total loans34 
Loans held-for-sale236 
Other real estate5 
Total assets at fair value$275 
December 31, 2022
Loans:
Commercial$53 
Real estate construction2 
Commercial mortgage11 
Total loans66 
Other real estate9 
Total assets at fair value$75 
Level 3 assets recorded at fair value on a nonrecurring basis at September 30, 2023 and December 31, 2022 included loans with a specific allowance and certain bank property held for sale, both measured based on the fair value of collateral. The unobservable inputs were the additional adjustments applied by management to the appraised values to reflect such factors as non-current appraisals and revisions to estimated time to sell. These adjustments are determined based on qualitative judgments made by management on a case-by-case basis and are not observable inputs, although they are used in the determination of fair value. At September 30, 2023, loans held-for-sale classified as Level 3 represented loans held-for-sale in less liquid markets requiring significant management assumptions when determining fair value.
Estimated Fair Values of Financial Instruments Not Recorded at Fair Value on a Recurring Basis
The Corporation typically holds the majority of its financial instruments until maturity and thus does not expect to realize many of the estimated fair value amounts disclosed. The disclosures also do not include estimated fair value amounts for items that are not defined as financial instruments, but which have significant value. These include items such as the future earnings potential of significant customer relationships and the value of trust operations and other fee generating businesses. The Corporation believes the imprecision of an estimate could be significant.
The carrying amount and estimated fair value of financial instruments not recorded at fair value in their entirety on a recurring basis on the Corporation’s Consolidated Balance Sheets are as follows:
 Carrying
Amount		Estimated Fair Value
(in millions)TotalLevel 1Level 2Level 3
September 30, 2023
Assets
Cash and due from banks$1,228 $1,228 $1,228 $— $— 
Interest-bearing deposits with banks6,884 6,884 6,884 — — 
Other short-term investments24 24 24 — — 
Loans held-for-sale2 2 — 2 — 
Total loans, net of allowance for loan losses (a)52,704 50,810 — — 50,810 
Customers’ liability on acceptances outstanding1 1 1 — — 
Restricted equity investments453 453 453 — — 
Nonmarketable equity securities (b)6 12 
Liabilities
Demand deposits (noninterest-bearing)29,922 29,922 — 29,922 — 
Interest-bearing deposits28,824 28,824 — 28,824 — 
Customer certificates of deposit3,401 3,372 — 3,372 — 
Other time deposits5,011 5,106 — 5,106 — 
Total deposits67,158 67,224 — 67,224 — 
Short-term borrowings4,812 4,812 4,812 — — 
Acceptances outstanding1 1 1 — — 
Medium- and long-term debt6,049 5,781 — 5,781 — 
Credit-related financial instruments(73)(73)— — (73)
December 31, 2022
Assets
Cash and due from banks$1,758 $1,758 $1,758 $— $— 
Interest-bearing deposits with banks4,524 4,524 4,524 — — 
Other short-term investments 19 19 19 — — 
Loans held-for-sale 2 2 — 2 — 
Total loans, net of allowance for loan losses (a)52,792 50,964 — — 50,964 
Customers’ liability on acceptances outstanding3 3 3 — — 
Restricted equity investments223 223 223 — — 
Nonmarketable equity securities (b) 5 12 
Liabilities
Demand deposits (noninterest-bearing)39,945 39,945 — 39,945 — 
Interest-bearing deposits29,566 29,566 — 29,566 — 
Customer certificates of deposit1,762 1,719 — 1,719 — 
Other time deposits124 124 — 124 — 
Total deposits71,397 71,354 — 71,354 — 
Short-term borrowings3,211 3,211 3,211 — — 
Acceptances outstanding3 3 3 — — 
Medium- and long-term debt3,024 3,071 — 3,071 — 
Credit-related financial instruments(79)(79)— — (79)
(a)Included $34 million and $66 million of loans recorded at fair value on a nonrecurring basis at September 30, 2023 and December 31, 2022, respectively.
(b)Certain investments that are measured at fair value using the net asset value have not been classified in the fair value hierarchy. The fair value amounts presented in the table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Consolidated Balance Sheets.