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Fair Value Measurements (Tables)
3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
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 March 31, 2020 and December 31, 2019.
(in millions)
Total
 
Level 1
 
Level 2
 
Level 3
March 31, 2020
 
 
 
 
 
 
 
Deferred compensation plan assets
$
92

 
$
92

 
$
—

 
$
—

Equity securities
40

 
40

 
—

 
—

Investment securities available-for-sale:
 
 
 
 
 
 
 
U.S. Treasury and other U.S. government agency securities
2,864

 
2,864

 
—

 
—

Residential mortgage-backed securities (a)
10,177

 
—

 
10,177

 
—

Total investment securities available-for-sale
13,041

 
2,864

 
10,177

 
—

Derivative assets:
 
 
 
 
 
 
 
Interest rate contracts
605

 
—

 
562

 
43

Energy derivative contracts
459

 
—

 
459

 
—

Foreign exchange contracts
34

 
—

 
34

 
—

Total derivative assets
1,098

 
—

 
1,055

 
43

Total assets at fair value
$
14,271

 
$
2,996

 
$
11,232

 
$
43

Derivative liabilities:
 
 
 
 
 
 
 
Interest rate contracts
$
70

 
$
—

 
$
70

 
$
—

Energy derivative contracts
454

 
—

 
454

 
—

Foreign exchange contracts
27

 
—

 
27

 
—

Total derivative liabilities
551

 
—

 
551

 
—

Deferred compensation plan liabilities
92

 
92

 
—

 
—

Total liabilities at fair value
$
643

 
$
92

 
$
551

 
$
—

December 31, 2019
 
 
 
 
 
 
 
Deferred compensation plan assets
$
95

 
$
95

 
$
—

 
$
—

Equity securities
54

 
54

 
—

 
—

Investment securities available-for-sale:
 
 
 
 
 
 
 
U.S. Treasury and other U.S. government agency securities
2,792

 
2,792

 
—

 
—

Residential mortgage-backed securities (a)
9,606

 
—

 
9,606

 
—

Total investment securities available-for-sale
12,398

 
2,792


9,606


—

Derivative assets:
 
 
 
 
 
 
 
Interest rate contracts
211

 
—

 
189

 
22

Energy derivative contracts
96

 
—

 
96

 
—

Foreign exchange contracts
10

 
—

 
10

 
—

Total derivative assets
317

 
—

 
295

 
22

Total assets at fair value
$
12,864

 
$
2,941

 
$
9,901

 
$
22

Derivative liabilities:
 
 
 
 
 
 
 
Interest rate contracts
$
39

 
$
—

 
$
39

 
$
—

Energy derivative contracts
92

 
—

 
92

 
—

Foreign exchange contracts
10

 
—

 
10

 
—

Total derivative liabilities
141

 
—

 
141

 
—

Deferred compensation plan liabilities
95

 
95

 
—

 
—

Total liabilities at fair value
$
236

 
$
95

 
$
141

 
$
—

(a)
Issued and/or guaranteed by U.S. government agencies or U.S. government-sponsored enterprises.
Changes In Level 3 Assets And Liabilities Measured At Fair Value On A Recurring Basis
The following table summarizes the changes in Level 3 assets and liabilities measured at fair value on a recurring basis for the three-month periods ended March 31, 2020 and 2019.
 
 
 
Net Realized/Unrealized Gains (Losses) (Pretax) Recorded in Earnings (a)
 
 
 
 
 
Balance 
at
Beginning
of Period
 
 
 
 
Balance at End of Period
 
 
 
Payments, Sales and Redemptions
 
(in millions)
 
Realized
Unrealized
 
 
Three Months Ended March 31, 2020
 
 
 
 
 
 
 
 
 
 
Derivative assets:
 
 
 
 
 
 
 
 
 
 
Interest rate contracts
$
22

 
$
—

 
$
21

 
 
$
—

 
$
43

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31, 2019
 
 
 
 
 
 
 
 
 
 
Derivative assets:
 
 
 
 
 
 
 
 
 
 
Interest rate contracts
$
9


$
—

 
$
5

 
 
$
—

 
$
14


(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 following table presents assets recorded at fair value on a nonrecurring basis at March 31, 2020 and December 31, 2019. No liabilities were recorded at fair value on a nonrecurring basis at March 31, 2020 and December 31, 2019.
(in millions)
Level 3
March 31, 2020
 
Loans:
 
Commercial
$
89

Lease financing
1

Total assets at fair value
$
90

December 31, 2019
 
Loans:
 
Commercial
$
70

Total assets at fair value
$
70

Estimated Fair Values Of Financial Instruments Not Recorded At Fair Value In Their Entirety On A Recurring Basis
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)
 
Total
 
Level 1
 
Level 2
 
Level 3
March 31, 2020
 
 
 
 
 
 
 
 
 
Assets
 
 
 
 
 
 
 
 
 
Cash and due from banks
$
848

 
$
848

 
$
848

 
$
—

 
$
—

Interest-bearing deposits with banks
4,007

 
4,007

 
4,007

 
—

 
—

Loans held-for-sale
5

 
5

 
—

 
5

 
—

Total loans, net of allowance for loan losses (a)
52,542

 
52,108

 
—

 
—

 
52,108

Customers’ liability on acceptances outstanding
2

 
2

 
2

 
—

 
—

Restricted equity investments
279

 
279

 
279

 
—

 
—

Nonmarketable equity securities (b)
5

 
10

 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
Demand deposits (noninterest-bearing)
27,646

 
27,646

 
—

 
27,646

 
—

Interest-bearing deposits
26,762

 
26,762

 
—

 
26,762

 
—

Customer certificates of deposit
2,958

 
2,959

 
—

 
2,959

 
—

Total deposits
57,366

 
57,367

 
—

 
57,367

 
—

Short-term borrowings
2,263

 
2,263

 
2,263

 
—

 
—

Acceptances outstanding
2

 
2

 
2

 
—

 
—

Medium- and long-term debt
7,434

 
7,224

 
—

 
7,224

 
—

Credit-related financial instruments
(84
)
 
(84
)
 
—

 
—

 
(84
)
December 31, 2019
 
 
 
 
 
 
 
 
 
Assets
 
 
 
 
 
 
 
 
 
Cash and due from banks
$
973

 
$
973

 
$
973

 
$
—

 
$
—

Interest-bearing deposits with banks
4,845

 
4,845

 
4,845

 
—

 
—

Loans held-for-sale
6

 
6

 
—

 
6

 
—

Total loans, net of allowance for loan losses (a)
49,732

 
49,975

 
—

 
—

 
49,975

Customers’ liability on acceptances outstanding
2

 
2

 
2

 
—

 
—

Restricted equity investments
248

 
248

 
248

 
—

 
—

Nonmarketable equity securities (b)
5

 
10

 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
Demand deposits (noninterest-bearing)
27,382

 
27,382

 
—

 
27,382

 
—

Interest-bearing deposits
26,802

 
26,802

 
—

 
26,802

 
—

Certificates of deposit
2,978

 
2,968

 
—

 
2,968

 
—

Other time deposits
133

 
133

 
—

 
133

 
—

Total deposits
57,295

 
57,285

 
—

 
57,285

 
—

Short-term borrowings
71

 
71

 
71

 
—

 
—

Acceptances outstanding
2

 
2

 
2

 
—

 
—

Medium- and long-term debt
7,269

 
7,316

 
—

 
7,316

 
—

Credit-related financial instruments
(57
)
 
(57
)
 
—

 
—

 
(57
)
(a)
Included $90 million and $70 million of loans recorded at fair value on a nonrecurring basis at March 31, 2020 and December 31, 2019, 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.