XML 73 R54.htm IDEA: XBRL DOCUMENT v3.25.0.1
Derivative financial instruments (Tables)
 12 Months Ended
Dec. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Information about Interest Rate Swap Agreements
Notional
Amount		Weighted-Average
Maturity
(In years)		Weighted-
Average Rate		Estimated
Fair Value
Gain (Loss) (a)
(Dollars in millions)
Fixed
Variable
December 31, 2024
Fair value hedges:
Fixed rate long-term borrowings (b) (d)$5,350 5.93.55 %4.71 %$(2)
Fixed rate investment securities available for sale (c)15 0.14.84 4.36 — 
Cash flow hedges:
Interest payments on variable rate commercial real
   estate and commercial and industrial loans (b) (e)
30,819 1.63.41 4.47 1 
Total$36,184 2.2$(1)
December 31, 2023
Fair value hedges:
Fixed rate long-term borrowings (b) (f)$3,000 5.83.45 %5.62 %$(1)
Cash flow hedges:
Interest payments on variable rate commercial real estate loans (b) (g)23,977 1.73.45 5.36 11 
Total$26,977 2.2$10 
__________________________________________________________________________________
(a)Certain clearinghouse exchanges consider payments by counterparties for variation margin on derivative instruments to be settlements of those positions. The impact of such payments for interest rate swap agreements designated as fair value hedges was a net settlement of losses of $153 million and $43 million at December 31, 2024 and December 31, 2023, respectively. The impact of such payments on interest rate swap agreements designated as cash flow hedges was a net settlement of losses of $136 million and $214 million at December 31, 2024 and December 31, 2023, respectively.
(b)Under the terms of these agreements, the Company receives settlement amounts at a fixed rate and pays at a variable rate.
(c)Under the terms of these agreements, the Company receives settlement amounts at a variable rate and pays at a fixed rate.
(d)Includes notional amount and terms of $3.4 billion of forward-starting interest rate swap agreements that become effective in 2025 and 2026.
(e)Includes notional amount and terms of $10.0 billion of forward-starting interest rate swap agreements that become effective in 2025 and 2026.
(f)Includes notional amount and terms of $1.0 billion of forward-starting interest rate swap agreements that become effective in 2025.
(g)Includes notional amount and terms of $9.0 billion of forward-starting interest rate swap agreements that became effective in 2024.
Notional Amount of Interest Rate Swap Agreements Outstanding Maturity
The notional amount of interest rate swap agreements entered into for risk management purposes that were outstanding at December 31, 2024 mature as follows:
(Dollars in millions)
Year ending December 31:
2025$10,384 
202610,450 
20276,000 
20286,500 
2029— 
Later years2,850 
$36,184 
Information about Fair Values of Derivative Instruments in Consolidated Balance Sheet
Information about the fair values of derivative instruments in the Company’s Consolidated Balance Sheet and Consolidated Statement of Income follows:
Asset DerivativesLiability Derivatives
Fair ValueFair Value
(Dollars in millions)December 31,
2024		December 31,
2023		December 31,
2024		December 31,
2023
Derivatives designated and qualifying as hedging instruments (a)
Interest rate swap agreements$2 $12 $3 $2 
Commitments to sell real estate loans4 6 — 8 
 6 18 3 10 
Derivatives not designated and qualifying as hedging
   instruments (a)
Mortgage banking:
Commitments to originate real estate loans for sale4 15 32 32 
Commitments to sell real estate loans39 35 — 3 
43 50 32 35 
Other:
Interest rate contracts (b)185 237 769 879 
Foreign exchange and other option and futures contracts
21 19 18 19 
206 256 787 898 
Total derivatives$255 $324 $822 $943 
__________________________________________________________________________________
(a)Asset derivatives are reported in Accrued interest and other assets and liability derivatives are reported in Accrued interest and other liabilities in the Consolidated Balance Sheet.
(b)The impact of variation margin payments at December 31, 2024 and 2023 was a reduction of the estimated fair value of interest rate contracts not designated as hedging instruments in an asset position of $686 million and $783 million, respectively, and in a liability position of $15 million and $32 million, respectively.
Carrying Amount of the
Hedged Item
Cumulative Amount of Fair Value Hedging Adjustment Increasing (Decreasing) the Carrying
Amount of the Hedged Item
(Dollars in millions)December 31, 2024December 31, 2023December 31, 2024December 31, 2023
Location in the Consolidated Balance Sheet
   of the Hedged Items in Fair Value Hedges
Long-term borrowings$5,184 $2,954 $(155)$(44)
Investment securities available for sale381  —  
Information about Fair Values of Derivative Instruments in Consolidated Statement of Income
Amount of Gain (Loss) Recognized
Year Ended December 31,
202420232022
(Dollars in millions)Derivative
Hedged Item
Derivative
Hedged Item
Derivative
Hedged Item
Derivatives in fair value
   hedging relationships
Interest rate swap agreements:
Fixed rate long-term borrowings (a)$(111)$111 $22 $(21)$(109)$109 
Fixed rate investment securities
   available for sale (b)		— — 
Total$(111)$111 $22 $(21)$(109)$109 
Derivatives not designated as
   hedging instruments
Interest rate contracts (c)$15 $31  $28 
Foreign exchange and other option and
   futures contracts (c)
21 15  14 
Total$36 $46  $42 
__________________________________________________________________________________
(a)Reported as an adjustment to Interest expense in the Consolidated Statement of Income.
(b)Reported as an adjustment to Interest income in the Consolidated Statement of Income.
(c)Reported as Trading account and other non-hedging derivative gains in the Consolidated Statement of Income.