Segment information

9 Months Ended

Sep. 30, 2022

Segment Reporting [Abstract]

Segment information

15. Segment information

Reportable segments have been determined based upon the Company's internal profitability reporting system, which is organized by strategic business unit. Certain strategic business units have been combined for segment information reporting purposes where the nature of the products and services, the type of customer and the distribution of those products and services are similar. The reportable segments are Business Banking, Commercial Banking, Commercial Real Estate, Discretionary Portfolio, Residential Mortgage Banking and Retail Banking.

The financial information of the Company's segments was compiled utilizing the accounting policies described in note 23 of Notes to Financial Statements in the 2021 Annual Report. The management accounting policies and processes utilized in compiling segment financial information are highly subjective and, unlike financial accounting, are not based on authoritative guidance similar to GAAP. As a result, the financial information of the reported segments is not necessarily comparable with similar information reported by other financial institutions. Furthermore, changes in management structure or allocation methodologies and procedures may result in changes in reported segment financial data. Information about the Company's segments follows.

15. Segment information, continued

	Three Months Ended September 30
	2022								2021
	Total  Revenues(a)		Inter- segment Revenues			Net Income (Loss)			Total  Revenues(a)		Inter- segment Revenues			Net Income (Loss)
	(In thousands)
Business Banking	$	241,629	$	663		$	94,094		$	181,873	$	694		$	72,017
Commercial Banking		510,549		802			214,063			295,209		1,009			144,367
Commercial Real Estate		234,479		249			94,937			228,317		227			84,663
Discretionary Portfolio		36,622		(23,044	)		11,813			112,529		(14,448	)		74,666
Residential Mortgage Banking		95,091		35,647			(3,283	)		159,213		25,150			46,077
Retail Banking		650,229		(5	)		181,639			357,335		(53	)		88,004
All Other		473,171		(14,312	)		53,333			201,900		(12,579	)		(14,334	)
Total	$	2,241,770	$	—		$	646,596		$	1,536,376	$	—		$	495,460

	Nine Months Ended September 30
	2022								2021
	Total  Revenues(a)		Inter- segment Revenues			Net Income (Loss)			Total  Revenues(a)		Inter- segment Revenues			Net Income (Loss)
	(In thousands)
Business Banking	$	586,605	$	2,060		$	205,741		$	482,874	$	2,157		$	159,895
Commercial Banking (b)		1,239,300		2,605			521,749			865,780		2,830			378,040
Commercial Real Estate		676,176		687			314,284			629,719		679			242,625
Discretionary Portfolio		190,761		(74,952	)		103,283			365,380		(34,554	)		243,744
Residential Mortgage Banking		346,409		110,986			35,028			459,655		70,208			125,791
Retail Banking (b)		1,523,992		(12	)		379,688			1,055,240		500			262,562
All Other (b)		1,106,405		(41,374	)		(333,481	)		620,694		(41,820	)		(11,879	)
Total	$	5,669,648	$	—		$	1,226,292		$	4,479,342	$	—		$	1,400,778

(a)Total revenues are comprised of net interest income and other income. Net interest income is the difference between taxable-equivalent interest earned on assets and interest paid on liabilities owed by a segment and a funding charge (credit) based on the Company's internal funds transfer and allocation methodology. Segments are charged a cost to fund any assets (e.g. loans) and are paid a funding credit for any funds provided (e.g. deposits). The taxable-equivalent adjustment aggregated $11,827,000 and $3,703,000 for the three-month periods ended September 30, 2022 and 2021, respectively, and $25,787,000 and $11,168,000 for the nine-month periods ended September 30, 2022 and 2021, respectively, and is eliminated in "All Other" total revenues. Intersegment revenues are included in total revenues of the reportable segments. The elimination of intersegment revenues is included in the determination of "All Other" total revenues.

(b)During the three months ended September 30, 2022, the Company transferred most financial records and processes associated with People's United to the Company's data systems and processes. Additionally during that period the Company transferred certain acquired operations to the Commercial Banking segment from other segments. Revenues and net income related to those operations were $96.0 million and $32.6 million in the three months ended June 30, 2022 and have been reclassified in the financial data presented herein for the nine months ended September 30, 2022.

	Average Total Assets
	Nine Months Ended September 30				Year Ended December 31
	2022		2021		2021
	(In millions)
Business Banking	$	7,515	$	8,386	$	8,007
Commercial Banking		40,464		29,109		28,559
Commercial Real Estate		28,811		25,913		25,628
Discretionary Portfolio		40,987		22,317		22,262
Residential Mortgage Banking		4,370		6,582		6,463
Retail Banking		20,063		17,701		17,897
All Other		45,185		40,959		43,853
Total	$	187,395	$	150,967	$	152,669