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Business Segment Information
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Business Segment Information Business Segment Information
FHN's operating segments are composed of the following:
•Commercial, Consumer & Wealth segment offers financial products and services, including traditional lending and deposit taking, to commercial and consumer clients primarily in the southern U.S. and other selected markets. Commercial, Consumer & Wealth also consists of lines of business that deliver product offerings and services with niche industry knowledge including asset-based lending, commercial real estate, equipment finance/leasing, energy, international banking, healthcare, and transportation and logistics. Additionally, Commercial, Consumer & Wealth provides investment, wealth management, financial planning, trust and asset management services for consumer clients as well as delivering treasury management solutions, loan syndications, and corporate banking services.
•Wholesale segment consists of lines of business that deliver product offerings and services with differentiated industry knowledge. Wholesale’s lines of business include mortgage warehouse lending, franchise finance, correspondent banking, and mortgage. Additionally, Wholesale has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
•Corporate segment consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, marketing, properties, technology, credit risk and bank operations are allocated to the activities of Commercial, Consumer & Wealth, Wholesale, and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of balance sheet funding, liquidity, and capital management and allocation. The Corporate segment also includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.
Basis of Presentation
Results of individual segments are presented based on FHN's internal management reporting practices. There is no comprehensive, authoritative body of guidance for management accounting equivalent to GAAP; therefore, the financial results of FHN's individual segments are not necessarily comparable with similar information for any other company.
Periodically, FHN adapts its segments to reflect managerial or strategic changes. FHN may also modify its methodology of allocating expenses and equity among segments, which could change historical segment results. Business segment revenue, expense, asset, and equity levels reflect those which are specifically identifiable, or which are allocated based on an internal allocation method. Because the allocations are based on internally developed assignments and allocations, to an extent they are subjective. Generally, all assignments and allocations have been consistently applied for all periods presented.
Funds Transfer Pricing
Net interest income in segment results reflects FHN's internal funds transfer pricing methodology which is designed to consider interest rate and liquidity risks. Under this methodology, assets receive a funding charge while liabilities and capital receive a funding credit based on market interest rates, product characteristics, and other factors.
The transfer pricing framework considers the application of funding curves and methodologies consistently across the balance sheet. A residual gain or loss from funds transfer pricing operations is retained within Corporate.
Segment Allocations
Financial results are presented, to the extent practicable, as if each segment operated on a stand-alone basis and include expense allocations for corporate overhead services used by the segments.
FHN has allocated the ALLL and the reserve for unfunded lending commitments based on the loan exposures within each segment’s portfolio.
The Company's Chief Operating Decision Maker ("CODM") is comprised of the chief executive officer and segment leadership.
For both the Commercial, Consumer & Wealth and Wholesale segments, the CODM uses both Pre-Provision Net Revenue ("PPNR") and Pre-Tax Net Income ("PTNI") to evaluate performance and allocate resources. The measure of PPNR focuses on the Company's primary businesses principally by excluding the volatility associated with credit risk estimates due to the CECL life-of-loan estimation requirement, which is highly sensitive to changes in economic forecasts. PPNR also represents a metric utilized by regulatory agencies in stress testing assessments. PTNI is used to incorporate credit risk estimates for a holistic view of pre-tax results in the evaluation of segment performance.
For the Corporate segment, the CODM uses after-tax income to evaluate performance and allocate resources. After-tax income is most relevant for the Corporate segment because of minimal credit risk and inclusion of
the impacts from all consolidated tax matters, which are not allocated, in addition to all other methodologies affecting pre-tax income among reported segments (e.g., FTP and cost allocations).
The following table presents financial information for each reportable business segment for the three months ended March 31, 2026 and 2025.
SEGMENT FINANCIAL INFORMATION
Three Months Ended March 31, 2026
(Dollars in millions)Commercial, Consumer & WealthWholesaleCorporateConsolidated
Interest income$788 $137 $79 $1,004 
Interest expense231 25 81 337 
Funds transfer pricing93 (50)(43)— 
Net interest income (expense)650 62 (45)667 
Noninterest income119 64 12 195 
Total revenues769 126 (33)862 
Noninterest expense368 83 54 505 
Pre-provision net revenue (b)401 43 (87)357 
Provision for credit losses8 9 (2)15 
Income (loss) before income taxes393 34 (85)342 
Income tax expense (benefit)94 8 (26)76 
Net income (loss)$299 $26 $(59)$266 
Average assets$58,996 $10,062 $13,987 $83,045 
Depreciation and amortization12 1 9 22 
Expenditures for long-lived assets6 — 2 8 
Three Months Ended March 31, 2025
(Dollars in millions)Commercial, Consumer & WealthWholesaleCorporateConsolidated
Interest income$814 $124 $76 $1,014 
Interest expense291 28 64 383 
Funds transfer pricing110 (46)(64)— 
Net interest income (expense)633 50 (52)631 
Noninterest income110 59 12 181 
Total revenues743 109 (40)812 
Noninterest expense (a)344 75 68 487 
Pre-provision net revenue (b)399 34 (108)325 
Provision for credit losses38 3 (1)40 
Income (loss) before income taxes361 31 (107)285 
Income tax expense (benefit)86 8 (31)63 
Net income (loss)$275 $23 $(76)$222 
Average assets$58,717 $8,495 $13,753 $80,965 
Depreciation and amortization9 2 10 21 
Expenditures for long-lived assets5 1 3 9 
(a)2025 includes an FDIC special assessment of $1 million and $5 million in derivative valuation adjustments related to prior Visa Class B share sales in the Corporate segment.
(b)Pre-provision net revenue is a non-GAAP measure and is reconciled to income (loss) before income taxes (GAAP) in this table.
The following table presents a disaggregation of FHN’s noninterest income by major product line and reportable segment for the three months ended March 31, 2026 and 2025.

NONINTEREST INCOME DETAIL BY SEGMENT
Three Months Ended March 31, 2026
(Dollars in millions)Commercial, Consumer & WealthWholesaleCorporateConsolidated
Noninterest income:
Fixed income (a)$— $53 $— $53 
Deposit transactions and cash management40 1 2 43 
Brokerage, management fees and commissions29 — — 29 
Card and digital banking fees15 — 3 18 
Other service charges and fees16 — — 16 
Trust services and investment management13 — — 13 
Mortgage banking income— 9 — 9 
Securities gains (losses), net (b)— — (1)(1)
Other income (c)6 1 8 15 
Total noninterest income$119 $64 $12 $195 
Three Months Ended March 31, 2025
(Dollars in millions)Commercial, Consumer & WealthWholesaleCorporateConsolidated
Noninterest income:
Fixed income (a)$— $49 $— $49 
Deposit transactions and cash management37 1 2 40 
Brokerage, management fees and commissions26 — — 26 
Card and digital banking fees16 — 2 18 
Other service charges and fees12 — — 12 
Trust services and investment management12 — — 12 
Mortgage banking income— 8 — 8 
Other income (c)7 1 8 16 
Total noninterest income$110 $59 $12 $181 
(a)2026 and 2025 include $11 million and $9 million, respectively, of underwriting, portfolio advisory, and other noninterest income in scope of ASC 606, "Revenue from Contracts with Customers."
(b)Represents noninterest income excluded from the scope of ASC 606. Amount is presented for informational purposes to reconcile total noninterest income.
(c)Includes letter of credit fees and insurance commissions in scope of ASC 606.
The following table presents a disaggregation of FHN's noninterest expense by reportable segment for the three months ended March 31, 2026 and 2025.

NONINTEREST EXPENSE DETAIL BY SEGMENT
Three Months Ended March 31, 2026
(Dollars in millions)Commercial, Consumer & WealthWholesaleCorporateConsolidated
Noninterest expense:
Personnel expense$142 $56 $91 $289 
Computer software8 2 28 38 
Net occupancy expense18 3 14 35 
Operations services4 6 15 25 
Legal and professional fees4 1 11 16 
Deposit insurance expense— — 13 13 
Equipment expense3 — 8 11 
Advertising and public relations1 — 9 10 
Amortization of intangible assets8 — — 8 
Other expense17 7 36 60 
Cost allocations163 8 (171)— 
Total noninterest expense$368 $83 $54 $505 
Three Months Ended March 31, 2025
(Dollars in millions)Commercial, Consumer & WealthWholesaleCorporateConsolidated
Noninterest expense:
Personnel expense$135 $51 $93 $279 
Computer software7 2 23 32 
Net occupancy expense21 2 12 35 
Operations services4 6 13 23 
Legal and professional fees3 1 10 14 
Deposit insurance expense— — 13 13 
Equipment expense2 — 8 10 
Advertising and public relations1 — 9 10 
Amortization of intangible assets9 — 1 10 
Other expense19 7 35 61 
Cost allocations143 6 (149)— 
Total noninterest expense$344 $75 $68 $487