Accumulated Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2025

Accumulated Other Comprehensive Income (Loss)

The following tables present the changes in the components of AOCI balances for the three and six months ended June 30, 2025 and 2024:



($ in thousands)	Debt Securities (1)		Cash Flow Hedges		Foreign Currency Translation Adjustments (2)		Total
Balance, April 1, 2024	$	(601,510)	$	(43,706)	$	(17,517)	$	(662,733)
Net unrealized gains (losses) arising during the period	8,773		(17,678)		(1,311)		(10,216)
Amounts reclassified from AOCI	1,451		17,325		—		18,776
Changes, net of tax	10,224		(353)		(1,311)		8,560
Balance, June 30, 2024	$	(591,286)	$	(44,059)	$	(18,828)	$	(654,173)

Balance, April 1, 2025	$	(482,175)	$	10,493	$	(23,333)	$	(495,015)
Net unrealized gains (losses) arising during the period	14,926		14,045		(1,103)		27,868
Amounts reclassified from AOCI	683		4,084		—		4,767
Changes, net of tax	15,609		18,129		(1,103)		32,635
Balance, June 30, 2025	$	(466,566)	$	28,622	$	(24,436)	$	(462,380)

Refer to table footnotes on the following page.



($ in thousands)	Debt Securities (1)		Cash Flow Hedges		Foreign Currency Translation Adjustments (2)		Total
Balance, January 1, 2024	$	(601,881)	$	2,624	$	(21,339)	$	(620,596)
Net unrealized gains (losses) arising during the period	6,491		(81,340)		2,511		(72,338)
Amounts reclassified from AOCI	4,104		34,657		—		38,761
Changes, net of tax	10,595		(46,683)		2,511		(33,577)
Balance, June 30, 2024	$	(591,286)	$	(44,059)	$	(18,828)	$	(654,173)

Balance, January 1, 2025	$	(542,152)	$	(20,787)	$	(22,321)	$	(585,260)
Net unrealized gains (losses) arising during the period	72,303		40,370		(2,115)		110,558
Amounts reclassified from AOCI	3,283		9,039		—		12,322
Changes, net of tax	75,586		49,409		(2,115)		122,880
Balance, June 30, 2025	$	(466,566)	$	28,622	$	(24,436)	$	(462,380)

(1)Includes after-tax unamortized losses related to AFS debt securities that were transferred to HTM in 2022.

(2)Represents foreign currency translation adjustments related to the Company’s net investment in non-U.S. operations, including related hedges. The functional currency and reporting currency of the Company’s foreign subsidiary was RMB and USD, respectively.

The following tables present the components of other comprehensive income (loss), reclassifications to net income and the related tax effects for the three and six months ended June 30, 2025 and 2024:



	Three Months Ended June 30,
	2025						2024
($ in thousands)	Before-Tax		Tax Effect		Net-of-Tax		Before-Tax		Tax Effect		Net-of-Tax
Debt securities:
Net unrealized gains arising during the period	$	31,958	$	(17,032)	$	14,926	$	12,421	$	(3,648)	$	8,773
Reclassification adjustments:
Net realized gains on AFS debt securities reclassified into net income (1)	(746)		208		(538)		(1,785)		528		(1,257)
Amortization of unrealized losses on transferred securities (2)	3,772		(2,551)		1,221		3,845		(1,137)		2,708
Net change	34,984		(19,375)		15,609		14,481		(4,257)		10,224
Cash flow hedges:
Net unrealized gains (losses) arising during the period	18,728		(4,683)		14,045		(25,095)		7,417		(17,678)
Net realized losses reclassified into net income (3)	5,531		(1,447)		4,084		24,594		(7,269)		17,325
Net change	24,259		(6,130)		18,129		(501)		148		(353)
Foreign currency translation adjustments, net of hedges:
Net unrealized losses arising during the period	(1,330)		227		(1,103)		(1,311)		—		(1,311)
Net change	(1,330)		227		(1,103)		(1,311)		—		(1,311)
Other comprehensive income	$	57,913	$	(25,278)	$	32,635	$	12,669	$	(4,109)	$	8,560

Refer to table footnotes on the following page.



	Six Months Ended June 30,
	2025						2024
($ in thousands)	Before-Tax		Tax Effect		Net-of-Tax		Before-Tax		Tax Effect		Net-of-Tax
Debt securities:
Net unrealized gains arising during the period	$	113,496	$	(41,193)	$	72,303	$	9,139	$	(2,648)	$	6,491
Reclassification adjustments:
Net realized gains on AFS debt securities reclassified into net income (1)	(877)		247		(630)		(1,834)		542		(1,292)
Amortization of unrealized losses on transferred securities (2)	7,594		(3,681)		3,913		7,661		(2,265)		5,396
Net change	120,213		(44,627)		75,586		14,966		(4,371)		10,595
Cash flow hedges:
Net unrealized gains (losses) arising during the period	56,194		(15,824)		40,370		(115,471)		34,131		(81,340)
Net realized losses reclassified into net income (3)	12,583		(3,544)		9,039		49,199		(14,542)		34,657
Net change	68,777		(19,368)		49,409		(66,272)		19,589		(46,683)
Foreign currency translation adjustments, net of hedges:
Net unrealized (losses) gains arising during the period	(2,342)		227		(2,115)		2,684		(173)		2,511
Net change	(2,342)		227		(2,115)		2,684		(173)		2,511
Other comprehensive income (loss)	$	186,648	$	(63,768)	$	122,880	$	(48,622)	$	15,045	$	(33,577)

(1)Pre-tax amounts were reported in Net gains on AFS debt securities on the Consolidated Statement of Income.

(2)Represents unrealized losses amortized over the remaining lives of securities that were transferred from the AFS to HTM portfolio in 2022.

(3)Pre-tax amounts related to cash flow hedges on variable rate loans were reported in Interest and dividend income on the Consolidated Statement of Income.