Acquisition and Divestiture Activity (Tables)

9 Months Ended

Sep. 30, 2021

Business Combinations [Abstract]

Acquisition Consideration

The following table includes the preliminary fair value of the identifiable tangible and intangible assets and liabilities from BBVA:

Table 34: Acquisition Consideration

	June 1, 2021
In millions	Fair Value
Fair value of acquisition consideration	$	11,480
Assets
Cash and due from banks	$	969
Interest-earning deposits with banks	13,313
Loans held for sale	463
Investment securities – available for sale	18,358
Net loans	61,439
Equity investments	723
Mortgage servicing rights	35
Core deposit intangibles and other intangible assets	399
Other	3,531
Total assets	$	99,230
Liabilities
Deposits	$	85,562
Borrowed funds	2,449
Accrued expenses and other liabilities	1,285
Total liabilities	$	89,296
Noncontrolling interests	22
Less: Net assets	$	9,912
Goodwill	$	1,568

Fair Value and Unpaid Principal Balance of Loans Acquired

The following table includes the fair value and unpaid principal balance of the loans from the BBVA acquisition:

Table 35: Fair Value and Unpaid Principal Balance of Loans from the BBVA Acquisition

	June 1, 2021
In millions	Unpaid Principal Balance		Fair Value
Loans
Commercial
Commercial and industrial	$	29,864	$	29,381
Commercial real estate	10,632		10,313
Equipment lease financing	48		48
Total commercial	40,544		39,742
Consumer
Residential real estate	12,871		12,977
Home equity	2,430		2,423
Automobile	3,916		3,910
Credit card	820		758
Other consumer	1,688		1,629
Total consumer	21,725		21,697
Total	$	62,269	$	61,439

Intangible Assets

Other intangible assets from the BBVA acquisition as of June 1, 2021 consisted of the following:

Table 36: Intangible Assets

In millions	Fair Value		Weighted Life (years)	Amortization Method
Residential mortgage servicing rights	$	35	5.5	(a)
Core deposits	$	283	10.0	Accelerated
Other	116		9.8	Straight-line
Total core deposits and other	$	399

(a) Intangible asset accounted for at fair value.

BBVA Financial Results

The following table presents financial results of BBVA included in the Consolidated Income Statement from the date of acquisition through September 30, 2021.

Table 37: BBVA Financial Results

In millions	Four months ended September 30, 2021
Net interest income	$	768
Noninterest income	$	285
Net income	$	378

Unaudited Pro Forma Results

Table 38: Unaudited Pro Forma Results

	Three months ended September 30				Nine months ended September 30
In millions	2021		2020		2021		2020
Net interest income	$	2,837	$	3,099	$	8,812	$	9,349
Noninterest income	$	2,341	$	2,007	$	6,695	$	5,832
Net income	$	1,959	$	1,616	$	6,185	$	2,467

PCD Loan Activity

Table 39: PCD Loan Activity

	June 1, 2021
In millions
Principal Balance	$	10,253
ACL at acquisition	(1,102)
Non-credit premium	219
Purchase price	$	9,370

Consolidated Income Statement - Discontinued Operations

The following table summarizes the results from the discontinued operations of BlackRock included in the Consolidated Income Statement:

Table 40: Consolidated Income Statement - Discontinued Operations

	Nine months ended September 30
In millions	2020
Noninterest income	$	5,777
Total revenue	5,777
Income from discontinued operations before income taxes and noncontrolling interests	5,777
Income taxes	1,222
Net income from discontinued operations	$	4,555

Consolidated Statement of Cash Flows - Discontinued Operations

The following table summarizes the cash flows of discontinued operations of BlackRock included in the Consolidated Statement of Cash Flows:

Table 41: Consolidated Statement of Cash Flows - Discontinued Operations

	Nine months ended September 30
In millions	2020
Cash from discontinued operations
Net cash provided (used) by operating activities of discontinued operations	$	(1,981)
Net cash provided by investing activities of discontinued operations	$	14,225