REGULATORY MATTERS

12 Months Ended

Dec. 31, 2024

Banking and Thrift, Other Disclosure [Abstract]

REGULATORY MATTERS

REGULATORY MATTERS

FNB and FNBPA are subject to various regulatory capital requirements administered by the federal banking agencies. Quantitative measures established by regulators to ensure capital adequacy require FNB and FNBPA to maintain minimum amounts and ratios of total, tier 1 and CET1 capital (as defined in the regulations) to risk-weighted assets (as defined) and of leverage ratio (as defined). Failure to meet minimum capital requirements could lead to initiation of certain mandatory, and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on our Consolidated Financial Statements, dividends and future business and corporate strategies. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, FNB and FNBPA must meet specific capital guidelines that involve quantitative measures of assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. FNB’s and FNBPA’s capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings and other factors.

As of December 31, 2024, the most recent notification from the federal banking agencies categorized FNB and FNBPA as “well-capitalized” under the respective regulatory frameworks. There are no conditions or events since the notification which management believes have changed this categorization.

Following are the capital ratios for FNB and FNBPA:

TABLE 22.1

	Actual				Well-Capitalized Requirements (1)				Minimum Capital Requirements plus Capital Conservation Buffer
(dollars in millions)	Amount		Ratio		Amount		Ratio		Amount		Ratio
As of December 31, 2024
F.N.B. Corporation:
Total capital	$	4,635	12.35	%	$	3,755	10.00	%	$	3,942	10.50	%
Tier 1 capital	3,971		10.58		2,253		6.00		3,191		8.50
Common equity tier 1	3,971		10.58		n/a		n/a		2,628		7.00
Leverage	3,971		8.75		n/a		n/a		1,816		4.00
Risk-weighted assets	37,546
FNBPA:
Total capital	$	4,794	12.86	%	$	3,728	10.00	%	$	3,914	10.50	%
Tier 1 capital	3,962		10.63		2,982		8.00		3,169		8.50
Common equity tier 1	3,882		10.41		2,423		6.50		2,610		7.00
Leverage	3,962		8.78		2,257		5.00		1,806		4.00
Risk-weighted assets	37,280
As of December 31, 2023
F.N.B. Corporation:
Total capital	$	4,456	12.16	%	$	3,664	10.00	%	$	3,847	10.50	%
Tier 1 capital	3,786		10.33		2,198		6.00		3,114		8.50
Common equity tier 1	3,680		10.04		n/a		n/a		2,565		7.00
Leverage	3,786		8.72		n/a		n/a		1,736		4.00
Risk-weighted assets	36,641
FNBPA:
Total capital	$	4,559	12.50	%	$	3,647	10.00	%	$	3,829	10.50	%
Tier 1 capital	3,769		10.34		2,917		8.00		3,100		8.50
Common equity tier 1	3,689		10.12		2,370		6.50		2,553		7.00
Leverage	3,769		8.71		2,164		5.00		1,731		4.00
Risk-weighted assets	36,466

(1) Reflects the well-capitalized standard under Regulation Y for F.N.B. Corporation and the prompt corrective action framework for FNBPA.

The FRB eliminated the reserve requirement for thousands of depository institutions, although FNBPA still maintains deposits with the FRB for various services such as check clearing. Certain limitations exist under applicable law and regulations by regulatory agencies regarding dividend distributions to a parent by our subsidiaries. As of December 31, 2024, our subsidiaries had $549.4 million of retained earnings available for distribution to us without prior regulatory approval.

Under current FRB regulations, FNBPA is limited in the amount it may lend to non-bank affiliates, including FNB. Such loans must be secured by specified collateral. In addition, any such loans to a non-bank affiliate may not exceed 10% of FNBPA’s capital and surplus and the aggregate of loans to all such affiliates may not exceed 20% of FNBPA’s capital and surplus. The maximum amount that may be borrowed by FNB affiliates under these provisions was $933.0 million at December 31, 2024.