Equity

3 Months Ended

Mar. 31, 2015

Equity [Abstract]

Equity

Equity

The following table displays the activity in other comprehensive income (“OCI”), net of tax, by major categories for the three months ended March 31, 2015 and 2014.

		For the Three Months Ended March 31,
		2015			2014
	(Dollars in millions)
Net income		$	1,888		$	5,325
Other comprehensive income, net of tax effect:
Changes in net unrealized gains on AFS securities (net of tax of $13 and $184, respectively)		24			340
Reclassification adjustment for OTTI recognized in net income (net of tax of $60 and $18, respectively)		110			33
Reclassification adjustment for gains on AFS securities included in net income (net of tax of $121 and $-, respectively)		(225		)	(1		)
Other		(1		)	—
Total other comprehensive (loss) income		(92		)	372
Total comprehensive income		$	1,796		$	5,697

The following table displays our accumulated other comprehensive income (“AOCI”) by major categories as of March 31, 2015 and December 31, 2014.

		As of
	March 31,				December 31,
	2015				2014
	(Dollars in millions)
Net unrealized gains on AFS securities for which we have not recorded OTTI, net of tax		$	667			$	592
Net unrealized gains on AFS securities for which we have recorded OTTI, net of tax		1,363				1,529
Prior service cost and actuarial losses, net of amortization, net of tax		(359		)		(358		)
Other losses		(30		)		(30		)
Accumulated other comprehensive income		$	1,641			$	1,733

The table below displays changes in AOCI, net of tax.

		For the Three Months Ended March 31,
		2015									2014
		AFS(1)			Other(2)			Total			AFS(1)			Other			Total
	(Dollars in millions)
Beginning balance		$	2,121		$	(388	)	$	1,733			$	1,627	$	(424	)	$	1,203
OCI before reclassifications		24			—			24				340		—			340
Amounts reclassified from OCI		(115		)	(1		)	(116		)		32		—			32
Net OCI		(91		)	(1		)	(92		)		372		—			372
Ending balance		$	2,030		$	(389	)	$	1,641			$	1,999	$	(424	)	$	1,575

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⁽¹⁾  The amounts reclassified from AOCI represent the gain or loss recognized in earnings due to a sale of an AFS security or the recognition of a net impairment recognized in earnings, which are recorded in “Investments gains, net” in our condensed consolidated statements of operations and comprehensive income.

⁽²⁾  The amounts reclassified from AOCI represent activity from our defined benefit pension plans, which is recorded in “Salaries and employee benefits” in our condensed consolidated statements of operations and comprehensive income.